@msolga,
You know, I was thinking about how I think the governments' responses have been unhelpful, and that meant I figured I had to come up with something better.
I think the governments needed not to get into denying and defensiveness (though I sure as hell understand why they did.)
I don't think you deal with feelings in the first instance with rationality...I think you need to empathise and show you understand and respect the feelings.
Something like they understand that Indian folk may be feeling threatened, and it's damn hard when you are studying far from home, or have a family member far away in a foreign country and you are hearing such reports.
That the authorities are taking very seriously Indian concerns that the attacks might be racially motivated, even though there is no evidence at present that they are, and that they are investigating this angle very thoroughly.
Meanwhile more police on the streets, and would Indian citizens living in Oz be sure to report to them, or to community leaders, any racial harassment or threatening behaviour.