The Finance Committee was established in 2019. to explore how financial and regulatory technology can benefit consumers and businesses in Australia.

But now, along with changing the committee’s name to the Select Committee on Australia as a Technology and Financial Centre, chairman and Liberal senator Andrew Bragg has sought to extend the group’s deadline beyond the original April date to October.

The group seeks to look at opportunities in cryptocurrency and digital assets, non-banking and corporate law cases that deter investment.

"The committee's work so far has made it clear that Australia is well positioned for rapid growth in the sector to attract investment and create jobs," Senator Bragg said.

"This is the perfect time to expand our reach and explore new opportunities for Australia as a technology and financial hub arising from the COVID-19 pandemic."

Senator Bragg has previously pushed for Australia to become the new financial services hub in the Asia-Pacific region after the fall of Hong Kong amid China's national security law enforcement.

In February, a backbench taskforce issued a list of recommendations on how Australia could attract money to the region, including reducing complex tax and regulatory obligations.

It has been estimated that attracting just 5 per cent of Hong Kong's financial activity would equate to 13,000 new jobs in Australia.

Senator Bragg noted that technology had unlocked the geographical constraints on Australia becoming a global technology hub.

"I fully expect the commission to focus on removing more barriers to Australia's growth as a technology and financial hub," he said.

"This is a golden opportunity to drive Australia's economic growth and I want to make sure we take full advantage of it."

The committee is expected to report in April on its existing fintech and regtech agenda, as well as a further report on the new mandate in April.

The changes come as the government seeks to reform Australia's offshore banking unit (OBU) to avoid being designated a harmful tax regime by the OECD and the European Union.

The OBU, established in 1992, aims to provide a more attractive tax rate for offshore banking activities carried out by Australian registered banks.

But the government is now looking to scrap the preferential tax rate and close the scheme to new entrants after the OECD raised concerns in 2018.

"The Government looks forward to consulting with affected parties to ensure Australia remains globally competitive and an attractive market for financial services," Treasurer Josh Frydenberg said in a statement.

Sarah Simpkins

Sarah Simpkins is a journalist at Momentum Media, reporting mainly on banking, financial services and wealth.

Prior to joining the team in 2018, Sarah worked in commercial media and produced stories for a current affairs program on public radio.

You can contact her at [email protected].