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Statement of Corporate Intent
The Statement of Corporate Intent
is prepared pursuant to Section 41 of the Government Business Enterprises Act 1995.
Part 1: Business Definition
Core Business
In accordance with the Ministerial Charter the scope of the commercial activities to be undertaken by TASCORP will be:
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to provide borrowing, investment, debt and asset management services
for the Government,
government business enterprises,
local government and state owned companies, and |
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to
deliver financial
advisory services to
these same clients,
including activities in
relation to asset,
liability and risk
management.
It is TASCORP's
strategic intent to
remain a reliable and
secure source of funding
for the public sector in
Tasmania. |
Key Limitations
1.1
Credit Rating
TASCORP's cost of borrowing is
dependent upon the State's
credit rating, over which the
Corporation has no control.
1.2.Price
Taker
Given
the volumes of TASCORP debt on
issue,
TASCORP is obliged to accept the
market price for funds at the
time it borrows.
Community Service Obligations
TASCORP has no community service obligations.
Part 2: Strategic Direction
Major Goals and Expected Outcomes
2.1 Borrowing Activities
To meet the funding needs of clients
at an interest rate sufficient
to ensure that the loan can be
funded without TASCORP incurring
a financial loss.
2.2 Investment Services
To provide clients with a rate of return equivalent to, or in excess of, a relevant market benchmark.
2.3 Other
To strive for market excellence in the provision of financial services to the Tasmanian public sector.
2.4 Return on Capital
To achieve a sustainable commercial rate of return
on effective capital employed while maintaining a sound financial structure and operating within financial risk parameters consistent with TASCORP’s status as a public sector entity.
Part 3: Business Performance Targets
3.1 Service Targets
Ensure TASCORP maintains a
strong client focus by setting
service delivery targets in its
corporate plan, and measuring
and reporting the rates of
client satisfaction against
those targets in its annual
report.
3.2 Financial Performance Targets
Set financial performance targets in its
corporate plan and report on their attainment or otherwise in its Annual Report.
3.3 Non-Financial Performance Targets
Comply with the risk management policies set by the TASCORP Board.
Part 4: Other Business Issues
4.1 Pricing Policy
TASCORP is expected to set
prices, fees and charges that
ensure an adequate return for
the risk assumed by TASCORP and,
represent fair value to
TASCORP's clients.
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