Opposition leader Tony Abbot finally voiced out his support on the nine-point plan laid out by his treasury spokesman Joe Hockey that seeks to restore and strengthen competition in the country's banking sector.

Mr Abbot said on Wednesday that the Hockey banking plan revealed on Monday has his backing, which he pointed out would encourage the existence of a healthy competition among players in the financial sector and deliver more benefits to borrowers and small businesses through more affordable interest rates.

Prior to clarifying his stand on Mr Hockey's pronounced banking policies, the opposition leader appeared to be dodging the issue this week by merely stating that the plan effectively shed light to the shortcomings of the present government's economic policies, specifically in the banking sector.

In a report by The Australian, Mr Abbot confirmed that the Hockey plan enjoys his support following earlier speculations that Mr Hockey came under fire from opposition colleagues for hinting that a Coalition government is more prepared to use its muscle in flexing its influence in Australia's banking interest rates.

However, the Liberal Party downplayed the story by stressing that the Hockey plan is being supported by the Coalition with opposition immigration spokesman Scott Morrison asserting that Mr Hockey enjoys very strong backing from within the Liberal lines.

Mr Morrison pointed out that the plan elicited attention owing to the fact that the banking sector operates in a different environment and it is a unique business operation as he veered away from suggestions that Mr Hockey was chastised by the shadow cabinet.