Australian regulator removes Westpac add-on liquidity requirement

The removal of the add-on takes effect this 1 September.

The Australian Prudential Regulation Authority has removed a liquidity add-on imposed on Westpac Banking Corporation.

In 2020, the Australian regulator ordered Westpac to add 10% to the amount of cash it keeps on hand in response to material breaches that demonstrated weaknesses in the bank’s risk management and oversight, risk control framework and risk culture in its liquidity risk management and reporting.

ALSO READ: Bank of China HK net profits up 6.1% to HK$14.42b in H1

APRA has removed the add-on after Westpac completed a program to meet APRA’s liquidity standard. The removal of the liquidity add-on is effective starting 1 September.

“The capital requirement add-on of AU$1b to reflect Westpac’s heightened operational risk profile remains in place,” APRA said.

According to Westpac, the removal of the add-on contributes around 13 percentage points to the bank’s liquidity coverage ratio.

Follow the link for more news on

Westpac

Also Read

Citi reels in new head of commercial bank for Korea

Gov’t support keeps APAC banks stable

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

I want to download the media kit