Featured Product

    APRA to Recommence Prudential Policy Program and License Issuance

    August 10, 2020

    APRA announced its intent to recommence public consultations on select policy reforms and to begin a phased resumption of the issuance of new licenses for banking, insurance, and superannuation entities. These initiatives were suspended in March and April due to the impact of COVID-19 pandemic. One key policy reform that will be recommenced in 2020 through the process of public consultation involves the capital reforms for banks, incorporating APRA’s unquestionably strong framework, Basel III, and measures to improve transparency, comparability, and flexibility. Additional reforms that are to be recommenced are the insurance capital reforms to incorporate changes in the accounting framework (AASB 17), the cross-industry prudential standard for remuneration, the prudential standard for insurance in superannuation, and the updated guidance on the sole purpose test.

    Aligned with its policy agenda, APRA will also restart consultation on a limited number of its data collections, including the recommencement of its superannuation data Transformation project. The policy program for 2021 will be reviewed in light of the current environment and with a view to continuing to support the financial sector as it responds to the impact of COVID-19 pandemic. In recognition of the high degree of ongoing uncertainty, policy initiatives will be responsive to the industry capacity and government priorities. 

    The recommencement of the assessing and issuing of new banking, insurance, and superannuation licenses will occur in two phases, with phase one starting in September 2020 and phase two in March 2021. New licenses issued during phase one will be issued to applicants that are branches or subsidiaries of foreign entities with significant financial resources and a strong operational track record in a similar business. APRA will also accept new license applications from any entity from September 2020. From March 2021, APRA envisages new licenses may be issued to any entity that meets the relevant prudential requirements. APRA is also reviewing the pathways to an authorized deposit-taking institution license, including the restricted authorized deposit-taking institution licensing framework that was launched in 2018, to incorporate experiences to date, while continuing to support competition in the sector.

     

    Related Links

    Keywords: Asia Pacific, Australia, Banking, Insurance, Pensions, Superannuation, COVID-19, Remuneration, AASB 17, Insurance Contracts, IFRS 17, Regulatory Capital, Basel, Bank Licenses, APRA

    Featured Experts
    Related Articles
    News

    EBA Updates Filing Rules for Supervisory Reporting

    The European Banking Authority (EBA) published version 5.1 of the filing rules for supervisory reporting.

    October 19, 2021 WebPage Regulatory News
    News

    ECB Amends Guideline on Procedures for Collection of AnaCredit Data

    The European Central Bank (ECB) Guideline 2021/1829 on the procedures for the collection of granular credit and credit risk data has been published in the Official Journal of European Union.

    October 19, 2021 WebPage Regulatory News
    News

    ECB Amends Guideline on Procedures for Collection of AnaCredit Data

    The European Central Bank (ECB) Guideline 2021/1829 on the procedures for the collection of granular credit and credit risk data has been published in the Official Journal of European Union.

    October 19, 2021 WebPage Regulatory News
    News

    EBA Publishes Standards on Disclosure of Investment Policy Under IFR

    The European Banking Authority (EBA) published the final draft regulatory technical standards on disclosure of investment policy by investment firms, under the Investment Firms Regulation (IFR).

    October 19, 2021 WebPage Regulatory News
    News

    APRA Finalizes Guidance for New Prudential Standard on Remuneration

    The Australian Prudential Regulation Authority (APRA) published the prudential practice guide CPG 511 to assist banks, insurers, and superannuation licensees in meeting requirements of CPS 511, the new prudential standard on remuneration.

    October 18, 2021 WebPage Regulatory News
    News

    OCC Updated LIBOR Self-Assessment Tool for Banks

    The Office of the Comptroller of the Currency (OCC) published a bulletin that provides an updated self-assessment tool for banks to evaluate their preparedness for cessation of the London Interbank Offered Rate (LIBOR).

    October 18, 2021 WebPage Regulatory News
    News

    TCFD Updates Guidance for Financial Disclosures on Climate Risk

    The Financial Stability Board (FSB) published a report that examines the progress made toward disclosures aligned with recommendations of the Task Force on Climate-related Financial Disclosures (TCFD).

    October 14, 2021 WebPage Regulatory News
    News

    BCBS Report Examines Progress on Adoption of Basel III Framework

    The Basel Committee on Banking Supervision (BCBS) published the progress report on adoption of the Basel III regulatory framework in member jurisdictions.

    October 14, 2021 WebPage Regulatory News
    News

    ACPR Implements Updates Related to DPM Version 3.1

    The French Prudential Supervisory Authority (ACPR) has implemented, in its information system, updates linked to the Data Point Model (DPM) version 3.1.

    October 14, 2021 WebPage Regulatory News
    News

    EBA Note Examines Transition Risks of Benchmark Rates

    The European Banking Authority (EBA) published a thematic note that aims to identify and raise awareness of the transition risks of benchmark rates, as the London Interbank Offered Rate (LIBOR) and the Euro Overnight Index Average (EONIA) are close to being phased out.

    October 14, 2021 WebPage Regulatory News
    RESULTS 1 - 10 OF 7571