Banking (Foreign Exchange) Regulations 1959 - Exemption (Part III) (12/12/1983)

Overview

The Banking (Foreign Exchange) Regulations Exemptions (F2006B00108) were enacted in 1983 to address the need for more flexible regulation of foreign exchange transactions, particularly concerning the export of goods from Australia. This legislative instrument, enacted by the Reserve Bank of Australia, aimed to streamline and update the exemptions and approvals previously granted under the Banking (Foreign Exchange) Regulations. By revoking certain outdated exemptions and approvals, the Regulations sought to better align the regulatory framework with contemporary economic conditions and practices. The policy objective was to ensure that the regulations remained effective and relevant, facilitating smoother and more efficient foreign exchange transactions while maintaining necessary oversight and control over the movement of currency and financial instruments.

Scope and Application

The Banking (Foreign Exchange) Regulations Exemptions, as specified in the legislative instrument F2006B00108, apply to the activities of the Reserve Bank of Australia in regulating foreign exchange transactions within Australia. This legislative instrument primarily concerns the exemption of certain goods exported from Australia from the constraints imposed by Part III of the Banking (Foreign Exchange) Regulations. The revocation of the exemption dated 20 December 1978, which had previously been in effect, removes specific regulatory limitations that were previously placed on goods exports as per Regulations 16, 17, and 19. This change means that the previously regulated goods exports are now subject to broader regulatory conditions, or potentially none at all, depending on the overarching regulatory framework. Additionally, the new exemption extends to all goods exported from Australia, further clarifying and easing the regulatory burden on exporters. This legislative action was effective from the date of notification in the Gazette on 12 December 1983 and pertains specifically to the geographic and jurisdictional scope of Australia.

Key Provisions

The primary operative sections of this legislative instrument involve the revocation and exemption of certain regulations under the Banking (Foreign Exchange) Regulations. Specifically, section (1) revokes an exemption dated 20 December 1978 that pertained to goods exported from Australia and affected by Regulations 16, 17 and 19 of those Regulations. Section (2), on the other hand, introduces an exemption from the application of Part III of the Regulations for goods exported from Australia. Additionally, section (3) revokes an approval dated 24 December 1979, which had been notified in the Gazette on 2 January 1980, regarding goods exported from Australia. These sections impose specific obligations on the parties and entities governed by the Banking (Foreign Exchange) Regulations. For instance, by revoking the exemption and approval related to the export of goods, the Reserve Bank of Australia is requiring that these goods now fall under the standard regulatory framework unless specifically exempted. This means that exporters of goods from Australia must now comply with the general provisions of Part III of the Regulations, unless they qualify for an exemption. Furthermore, the revocation of the specific exemption dated 20 December 1978 and the approval dated 24 December 1979 ensures that the regulatory landscape is updated and any outdated or obsolete provisions are removed to streamline compliance and enforcement. In terms of consequences for breach, the legislative instrument does not explicitly state penalties or specific consequences for non-compliance with these changes. However, under the broader Banking (Foreign Exchange) Regulations, failure to comply with the regulations could lead to various penalties. These may include fines, imprisonment, or both, depending on the severity and nature of the breach. The exact penalties would be determined by the courts and would depend on the specific provisions of the Regulations that are being contravened. It is essential for entities and individuals subject to these regulations to ensure they are fully aware of and comply with the updated requirements to avoid any potential legal repercussions.