The Australian Prudential Regulation Authority has issued updated timelines for the introduction of prudential changes over the next couple of years, with some measures that were to have taken effect in 2023 pushed back to 2024.
APRA has set dates for the release of final standards or consultations covering bank capital reforms, the insurance capital framework, financial contingency planning and resolution, and updates to superannuation standards.
In banking, the approach to capital requirements (APS 110), the standardised approach to credit risk (APS 112) and the internal ratings-based approach to credit risk (APS 113) will all be finalised in the December quarter this year and take effect in 2023.
Consultation on a standard covering stored value facilities and changes to the standard on disclosure requirements (APS 330) has been pushed out to next year.
Finalisation of changes to the standard covering interest rate risk in the banking book (APS 117) has been pushed out to next year, with effect from 2024, not 2023. The start date for changes to the credit risk management standard (APS 220) is to be confirmed.
Among the cross-industry standards and guides, the consultation and finalisation of the contingency planning and resolution standard will continue as planned, with the standard to take effect in 2023.
Consultation on operational resilience and stress testing guides have been pushed back to next year, with the expected start date for operational resilience pushed back from 2023 to 2024, and no start date confirmed for stress testing.
Consultation on the remuneration disclosure standard (CPS 511) has been pushed out to next year but the start date remains 2023.
APRA has stuck with 2023 as the start data for all insurance standards and guides under review.
In superannuation, only one of seven standards under review has a confirmed start date. Insurance in superannuation (SPS 250/SPG 250) will take effect next year. All the others, including investment governance and fit and proper, are to be confirmed.