On 31 July 2007, the Board of the Finance Industry Council of Australia (FICA), together with Abacus – Australian Mutuals and The Association of Superannuation Funds of Australia, met with the ASIC Commissioners and APRA Members to discuss significant regulatory and industry issues facing the financial services industry.

The meeting focused on issues that are relevant to the responsibilities of the two agencies. It was also provided with an update of the work of the Joint APRA/ASIC Working Group that is evaluating how any overlaps, inconsistencies or duplication in the activities of the two agencies might be reduced.

The meeting, which is intended to be a regular event, was a response to the Government’s encouragement of ASIC and APRA to explore, with industry representatives, possible mechanisms to provide industry with the opportunity to raise issues about how regulatory coordination operates in practice. Rethinking Regulation: Report of the Taskforce on Reducing Regulatory Burdens on Business (January 2006) had also made recommendations about improving industry consultation.

Participants found the inaugural meeting most constructive and believe the on-going process will enhance the regulatory framework to the benefit of the market and Australia as a global financial centre.

FICA consists of the Australian Bankers’ Association, Australian Finance Conference, Australian Financial Markets Association, Financial Planning Association, Insurance Council of Australia and Investment and Financial Services Association.

For further comments please call Richard Gilbert, (Chair) FICA on (02) 9299 3022; Angela Friend, ASIC on (03) 9280 3338; Stuart Snell, APRA on (02) 9210 3384

The Australian Prudential Regulation Authority (APRA) is the prudential regulator of the financial services industry. It oversees banks, credit unions, building societies, general insurance and reinsurance companies, life insurance, friendly societies, and most members of the superannuation industry. APRA is funded largely by the industries that it supervises. It was established on 1 July 1998. APRA currently supervises institutions holding approximately $2.5 trillion in assets for 20 million Australian depositors, policyholders and superannuation fund members.