APRA Proposes to Increase Transparency of Banking Data
APRA announced that it is resuming consultation on the confidentiality of data submitted to APRA by the authorized deposit-taking institutions. To this end, APRA has published a consultation letter proposing a list of key data items to be determined non-confidential and is inviting stakeholder feedback on the consultation by November 20, 2020. APRA intends to publish entity-level data in 2021, with the exception of data on certificates of deposit.
Earlier, APRA had published, on December 05, 2019, a letter advising that it was proposing to determine data sources for its authorized deposit-taking institution quarterly publications to be non-confidential and to provide an opportunity to the institutions to make submissions on these proposals. However, this consultation had been paused in response to the challenges posed by the COVID-19 outbreak. The December proposal outlined plans to determine that certain data collected for quarterly authorized deposit-taking institution publications should be considered non-confidential, thus allowing it to be published. A common theme in the industry submissions, by authorized deposit-taking institutions, to the December consultation was to break up and slow down the proposed publication of authorized deposit-taking institution data into more manageable stages. In response to this, APRA is now re-consulting on a much shorter list of key authorized deposit-taking institution metrics, sourced almost entirely from the Quarterly Authorized Deposit-taking Institution Performance Statistics (QADIP). The key authorized deposit-taking institution metrics subject to this consultation relate to capital adequacy, liquidity, asset quality, financial statements, and financial performance.
APRA also intends to use this publication as a foundation to reduce the burden of disclosure requirements for smaller authorized deposit-taking institutions. As has been consulted on previously, APRA is proposing to reduce the Pillar 3 disclosure burden for smaller institutions. Publication of these key metrics by APRA would be an enabler of this initiative. This proposal, which is outlined in Attachment 1 to the APRA letter, is a major step in improving the transparency of the risk profiles of authorized deposit-taking institutions while Attachment 2 to the letter contains a table of key authorized deposit-taking institution metrics. Publication of these data will assist in providing the public with a centralized and consistent data source on individual institutions.
Related Links
Comment Due Date: November 20, 2020
Keywords: Asia Pacific, Australia, Banking, Securities, Reporting, Disclosures, QADIP, EFS, Statistics, Regulatory Capital, Liquidity, APRA
Featured Experts
María Cañamero
Skilled market researcher; growth strategist; successful go-to-market campaign developer
Nicolas Degruson
Works with financial institutions, regulatory experts, business analysts, product managers, and software engineers to drive regulatory solutions across the globe.
Patrycja Oleksza
Applies proficiency and knowledge to regulatory capital and reporting analysis and coordinates business and product strategies in the banking technology area
Previous Article
EC Publishes Work Program for 2021Related Articles
BIS and Central Banks Experiment with GenAI to Assess Climate Risks
A recent report from the Bank for International Settlements (BIS) Innovation Hub details Project Gaia, a collaboration between the BIS Innovation Hub Eurosystem Center and certain central banks in Europe
Nearly 25% G-SIBs Commit to Adopting TNFD Nature-Related Disclosures
Nature-related risks are increasing in severity and frequency, affecting businesses, capital providers, financial systems, and economies.
Singapore to Mandate Climate Disclosures from FY2025
Singapore recently took a significant step toward turning climate ambition into action, with the introduction of mandatory climate-related disclosures for listed and large non-listed companies
SEC Finalizes Climate-Related Disclosures Rule
The U.S. Securities and Exchange Commission (SEC) has finalized the long-awaited rule that mandates climate-related disclosures for domestic and foreign publicly listed companies in the U.S.
EBA Proposes Standards Related to Standardized Credit Risk Approach
The European Banking Authority (EBA) has been taking significant steps toward implementing the Basel III framework and strengthening the regulatory framework for credit institutions in the EU
US Regulators Release Stress Test Scenarios for Banks
The U.S. regulators recently released baseline and severely adverse scenarios, along with other details, for stress testing the banks in 2024. The relevant U.S. banking regulators are the Federal Reserve Bank (FED), the Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC).
Asian Governments Aim for Interoperability in AI Governance Frameworks
The regulatory landscape for artificial intelligence (AI), including the generative kind, is evolving rapidly, with governments and regulators aiming to address the challenges and opportunities presented by this transformative technology.
EBA Proposes Operational Risk Standards Under Final Basel III Package
The European Union (EU) has been working on the final elements of Basel III standards, with endorsement of the Banking Package and the publication of the European Banking Authority (EBA) roadmap on Basel III implementation in December 2023.
EFRAG Proposes XBRL Taxonomy and Standard for Listed SMEs Under ESRS
The European Financial Reporting Advisory Group (EFRAG), which plays a crucial role in shaping corporate reporting standards in European Union (EU), is seeking comments, until May 21, 2024, on the Exposure Draft ESRS for listed SMEs.
ECB to Expand Climate Change Work in 2024-2025
Banking regulators worldwide are increasingly focusing on addressing, monitoring, and supervising the institutions' exposure to climate and environmental risks.
