APRA published the updated reporting standards and guidance for the collection of Economic and Financial Statistics (EFS), following a consultation process. Also published was a response letter to the feedback received on the proposal for amending the EFS reporting standards and guidance. This recent update addresses the implementation timeline of the updated EFS collection, the alignment of EFS with other data collections, and the proposed addition of interest rate bands to Reporting Standard ARS 747.0 ABS/RBA Deposit Stocks, Flows and Interest Rates. Where appropriate, either the relevant reporting standards and/or guidance have been updated or a bilateral response will be provided to the organization requesting clarification.
Among other decisions, the Australian agencies—APRA, the Reserve Bank of Australia (RBA), and the Australian Bureau of Statistics (ABS)—have decided not to proceed with the change of due dates for monthly reporting and, therefore, returns will continue to be due within 28 calendar days after the end of the reporting period. Consequently, no changes have been made to the reporting standards on ABS/RBA Bill Acceptances and Endorsements (ARS 720.7) and Margin Lending (ARS 723.0). The revisions to the EFS standards and guidance will not apply retrospectively to reporting periods that occur prior to the reporting period ending on September 30, 2021. Given the concerns raised by industry, the agencies have moved the implementation date of the changes for most of the standards from the reporting period ending on June 30, 2021 to September 30, 2021, to provide entities with additional lead time. The exceptions are Reporting Standards ARS 722.0 ABS/RBA Derivatives, ARS 730.1 ABS/RBA Fees Charged, and RRS 710.0 ABS/RBA Audit Requirements for Registered Financial Corporations—EFS Collection. The implementation date for ARS 722.0 and ARS 730.1 will remain as the reporting period ending on or after March 31, 2021. The information required by ARS 730.1 must be provided in respect of each year ended June 30. The first reporting period for ARS 730.1 will, therefore, be July 01, 2020 to June 30, 2021.
The revisions to RRS 710.0 will commence from July 01, 2021 and until this time the extension provided on October 11, 2019 will continue to apply. With respect to the proposal to collect additional data on deposit interest rates in ARS 747.0, the industry feedback highlighted that this additional data collection would impose significant additional burden in the form of initial project costs and ongoing reporting and compliance costs. Thus, the agencies decided not to proceed with this change. Additionally, one submissions highlighted the overlap between the information required for Prudential Standard APS 220 Credit Risk Management and Reporting Standard ARS 720.1 ABS/RBA Loans and Finance Leases and proposed that the EFS data for impaired assets could be collected as a subset of the data collected for the prudential standard. To address this, APRA is designing the future collection for the prudential standard to be able to be used for multiple purposes and will consider the removal of overlapping data requirements at a future date.
Keywords: Asia Pacific, Australia, Banking, Reporting, EFS Collection, EFS, Credit Risk, APRA
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The Board of Governors of the Federal Reserve System (FED) published the final rule that amends Regulation I to reduce the quarterly reporting burden for member banks by automating the application process for adjusting their subscriptions to the Federal Reserve Bank capital stock, except in the context of mergers.
The European Banking Authority (EBA) published its assessment of risks through the quarterly Risk Dashboard and the results of the Autumn edition of the Risk Assessment Questionnaire (RAQ).
The Malta Financial Services Authority (MFSA) updated the guidelines on supervisory reporting requirements under the reporting framework 3.0.
The Hong Kong Monetary Authority (HKMA) published a circular, along with the reporting form and instructions, for self-assessment, by authorized institutions, of compliance with the Code of Banking Practice 2021.
The Financial Conduct Authority (FCA) decided to register European DataWarehouse Ltd and SecRep Limited as securitization repositories under the UK Securitization Regulation, with effect from January 17, 2022.
The European Commission (EC) published the Delegated Regulation 2022/25, which supplements the Investment Firms Regulation (IFR or Regulation 2019/2033) with respect to the regulatory technical standards specifying the methods for measuring the K-factors referred to in Article 15 of the IFR.
The Bank of International Settlements (BIS) published a paper that assesses the ways in which platform-based business models can affect financial inclusion, competition, financial stability and consumer protection.
The Central Bank of Egypt (CBE) published a circular with instructions on emergency liquidity assistance to banks that are unable to meet their liquidity requirements.
The European Supervisory Authorities (ESAs) published the list of identified financial conglomerates for 2021.
The Australian Prudential Regulation Authority (APRA) updated the list of authorized deposit-taking institutions, granting license to Barclays Bank PLC and Crédit Agricole Corporate and Investment Bank to operate as foreign authorized deposit-taking institutions under the Banking Act 1959.