Dick Menting on Community Banking

 Dick Menting a long ago migrant from The Netherlands , now with 3 "aussie" children gave an address on Community Banking in Boroondara.

Chair (Meredith Hayes) explained that Dick had a finance and banking background going back to the old ESA  bank, which was absorbed by the ANZ Banking Group and then moved to the Coles Myer Group again in a finance capacity. 

More recently known for his community activities ( Dick becomes a retired Boroondara councillor at 6pm this Saturday!) and in particular as the continuing champion/focus for Bendigo Bank based community banks in our area Dick took us through the processes and hurdles by which such branches are created.    Commencing from an operation in Canterbury/Surrey Hills in 1998 he noted that one needs an expected minimum initial turnover of $15M p.a. to the start the branch but need $60M p.a. to sustain it.   He remarked that there are over 300 such community bank branches Australia wide.

There are now 4 such branches in the region and a proposed one for the Power St, Burwood Rd corner.  Predicated on a geographic shopping strip connection with local businesses the early branches did that, but  it is now more important at the broader level to maintain such a connection.   The great benefit to the local community is that the funds are maintained in a local area and that the branches provide grants for local community projects--in our region there has been in excess of $2 Million made since 1998.   Shareholders, again local community members, have benefited with steady significant dividends. 

There are the usual regulations and processes of for example the prospectus and annual reports, thus really the community bank is a unremarkable investment but a business with a specific customer focus.  

Thank you Dick for an enlightening presentation.