Response to submissions - Proposed changes to quarterly ADI statistical publications

APRA recently consulted on proposed changes to its Quarterly Authorised Deposit-taking Institution Performance (QADIP) and Quarterly Authorised Deposit-taking Institution Property Exposures (QPEX) statistical publications. These changes are to accommodate the new Prudential Standard APS 220 Credit Risk Management (APS 220), notably to continue the publication of data regarding non-performing loans. 

Submissions received

APRA received two submissions: one confidential submission from an ADI and one non-confidential submission from the Australian Banking Association (ABA submission). The ABA submission has been published on APRA’s website. 

This letter sets out APRA’s response to the key recommendation made in the ABA submission.

Comments received

The ABA submission advocated for postponing the first publication until later this year, giving ADIs sufficient time to identify and correct any underlying data issues in the new reporting form.  

APRA’s response

The data on asset quality is key to monitoring the health of the banking system. APRA intends to release the quarterly statistical publications on schedule, as no significant data issues have been identified in the first quarterly submissions. In addition, APRA views the risk of delaying the publication of key data series as greater than the risk of potential data quality concerns.

Next steps

Based on the above feedback, APRA will proceed with the proposed updates to QADIP and QPEX. The updated statistical publications will be first released on 14 June 2022 for the March 2022 reference period. The updated explanatory notes and glossary files are available on the consultation page. Clarifications on the regulatory reporting, which is the source of these data, are available on the Frequently Asked Questions page.

Yours sincerely,

 

Alison Bliss

General Manager 

Data Analytics