Australian Prudential Regulation Authority (confidentiality) determination No. 6 of 2006

Overview

The Australian Prudential Regulation Authority (confidentiality) determination No. 6 of 2006 was made under section 57 of the Australian Prudential Regulation Authority Act 1998, with the purpose of facilitating the publication of an edition of Monthly Banking Statistics by the Australian Prudential Regulation Authority (APRA). This determination allows APRA to disclose certain information provided by locally-incorporated banks and foreign authorised deposit-taking institutions, as per the Reporting Standard ARS 320.0 (2005), without it being considered confidential. The determination excludes sensitive information, such as shareholder's equity, total income tax liability, and total provisions. APRA undertook consultations with industry representatives before making this determination, with most agreeing that the specified information could be treated as non-confidential. APRA considered the strong public interest in publishing this information, as it aligns with the previous practice under the Banking Act 1959.

Scope and Application

The Australian Prudential Regulation Authority (confidentiality) determination No. 6 of 2006, issued under section 57 of the Australian Prudential Regulation Authority Act 1998, applies to information provided by locally-incorporated banks and foreign authorised deposit-taking institutions (ADIs) under Reporting Standard ARS 320.0 (2005). This information is given to the Australian Prudential Regulation Authority (APRA) under section 13 of the Financial Sector (Collection of Data) Act 2001. The determination aims to facilitate APRA’s publication of an edition of Monthly Banking Statistics, containing data for March 2006. The information covered by this determination includes selected assets, loans and advances, liabilities, and deposits on the Australian books of individual banks, as detailed in the appendix of the Explanatory Statement. However, it excludes sensitive information such as shareholder equity, total income tax liability, and total provisions. The Determination is effective for information received by APRA after the last confidentiality determination and before the date of this one. Consultations with the industry were conducted to gather views on the non-confidential nature of the information, with a majority agreeing that it could be treated as non-confidential, although a minority objected to any publication of such data.

Key Provisions

The Australian Prudential Regulation Authority (confidentiality) determination No. 6 of 2006, made under section 57 of the Australian Prudential Regulation Authority Act 1998 (APRA Act), aims to facilitate the publication of an edition of Monthly Banking Statistics by APRA, specifically for the month of March 2006. This Determination identifies certain non-confidential information provided by locally-incorporated banks and foreign authorised deposit-taking institutions (ADIs) under Reporting Standard ARS 320.0 (2005). This standard, as per Financial Sector (Collection of Data) determination No. 37 of 2005, mandates that certain financial data must be submitted to APRA. The Determination specifies that the information covered is that which is received by APRA on or after the date of the last confidentiality determination and before the date of this one. Notably, sensitive information such as shareholder’s equity, total income tax liability, and total provisions are excluded from this non-confidential designation. The entities subject to this Determination are locally-incorporated banks and foreign ADIs, which are generally banks. These entities are required to submit specified financial data to APRA under Reporting Standard ARS 320.0. Before APRA can declare information as non-confidential, it must consult with the relevant entities or their representative associations and consider their representations, as stipulated by section 57 of the APRA Act. This consultation process ensures that all perspectives are taken into account before any information is deemed non-confidential and eligible for publication. The Determination also outlines the obligations and requirements for these entities. They must submit the specified financial data to APRA as per the reporting standards. Additionally, they are expected to ensure the accuracy and completeness of the data provided. APRA’s role is to review this data, consult with stakeholders, and make a determination on the confidentiality status of the information. Should APRA determine that certain information is non-confidential, it may be published in the Monthly Banking Statistics. Failure to comply with the requirements of the APRA Act and the Determination could result in various consequences. While the Determination itself does not specify penalties, breaches of confidentiality or inaccuracies in the data provided could lead to regulatory scrutiny or enforcement actions under the APRA Act. This could include administrative penalties or other measures to ensure compliance with the regulatory framework. Furthermore, there may be civil or criminal liabilities for providing false or misleading information under other relevant legislation, such as the Corporations Act 2001.