Proposed changes to liquidity and capital requirements for authorised deposit-taking institutions
This page contains information regarding APRA's consultation on targeted changes to liquidity and capital requirements aimed at strengthening the banking sector’s resilience to future stress.
December 2024
Consequential reporting changes to ARS 110.0 – Capital Adequacy
On 6 December 2024, APRA published a letter to authorised deposit-taking institutions (ADIs) seeking feedback on proposed consequential amendments to Reporting Standard ARS 110.0 – Capital Adequacy (ARS 110), following its consultation on targeted liquidity changes in November 2023 and on Interest Rate Risk in the Banking Book (IRRBB) reporting in July 2024.
Written submissions should be sent to DataConsultations@apra.gov.au by 14 February 2025.
The draft reporting standard and consultation letter can be found below:
July 2024
On 24 July 2024, APRA published final prudential standards, a final prudential practice guide, and a response to submissions paper to its November 2023 consultation on targeted changes to liquidity and capital requirements aimed at strengthening the banking sector's resilience to future stress.
Media release: APRA finalises targeted changes to strengthen banks’ liquidity and capital requirements.
The response to submissions paper, final standards, final guidance, the Exceptional Liquidity Assistance data request template, and non-confidential submissions can be found below.
Response paper
Response to submissions - Targeted changes to ADI liquidity and capital standards
Final prudential standards
Final prudential practice guide
Final data request template
Non-confidential submissions
November 2023
On 15 November 2023, APRA released for consultation its proposed changes to liquidity and capital requirements aimed at strengthening the banking sector’s resilience to future stress.
The proposed changes seek to ensure that ADIs have strong crisis preparedness, prudently value their liquid assets and minimise potential contagion risks.
The changes will be reflected in the following standards and guidance:
- Prudential Standard APS 210 Liquidity (APS 210);
- Prudential Practice Guide APG 210 Liquidity (APG 210); and
- Prudential Standard APS 111 Capital Adequacy: Measurement of Capital (APS 111).
Written submissions should be sent to adipolicy@apra.gov.au by 16 February 2024.
The consultation letter, draft standards and guidance, and the Exceptional Liquidity Assistance data request template referenced in Attachment A of the consultation letter can be found below.
Media release: APRA proposes targeted changes on liquidity and capital in response to global banking turmoil.
Letter
Targeted changes to ADI liquidity and capital standards
Draft standards
Draft guidance
Data request template
Note on submissions
It is APRA's policy to publish all submissions on the APRA website unless the respondent specifically tells APRA in writing that all or part of the submission is to remain confidential. An automatically generated confidentiality statement in an email does not satisfy this purpose. If you would like only part of your submission to be confidential, you should provide this information marked as 'confidential' in a separate attachment.
Submissions may be the subject of a request for access made under the Freedom of Information Act 1982 (FOIA). APRA will determine such requests, if any, in accordance with the provisions of the FOIA. Information in the submission about any APRA-regulated entity that is not in the public domain and that is identified as confidential will be protected by section 56 of the Australian Prudential Regulation Authority Act 1998 and will therefore be exempt from production under the FOIA.