APRA gets tech boost
APRA’s funding has been boosted by $58.7 million to address next-generation risks.
The prudential regulator will use the money to address emerging cyber security risks, fintech issues and improve its data collection capabilities.
Regulators including APRA and the Australian Securities and Investments Commission (ASIC) were heavily criticised during the banking royal commission for not doing enough to prosecute banks.
Treasurer Josh Frydenberg said APRA would “reinforce the resilience and soundness of [the] financial system at a time of significant reform”.
“The new funding as well as the reappointment of Mr Byres and appointment of a second Deputy Chair – Mr John Lonsdale – will support APRA in developing a stronger focus on accountability and enforcement in the financial system,” he said.
The package will strengthen APRA’s physical supervision of banks, insurers and superannuation funds by “increasing the number of frontline supervisors for the largest and most complex financial institutions”.
It will also use the cash injection to identity and address new and emerging risks in the areas of cyber banking and security, fintech and culture.
Mr Frydenberg also announced the reappointment of Mr Wayne Byres as APRA chair.