The survey was based on the responses of 100 key decision makers in the banking and financial services industry in Australia.
A 68 per cent majority of the institutions surveyed ranked Basel III ratios as the number one compliance risk management priority. According to Wolters Kluwer, this could be the result of the increased focus by regulators on effective liquidity risk management by regulators since the financial crisis in 2008.
Around half of the respondents considered OTC derivative reform to be the second compliance risk priority. The new XBRK v2.1 standard business reporting rule was mostly regarded as the third priority.
Asia Pacific managing director at Wolters Kluwer Chris Puype said treasury and compliance functions within banks were under increasing pressure to adhere to new regulatory requirements.
“They need to act quickly and efficiently to streamline reporting processes and overcome operational challenges,” said Mr Puype.
Sixty-one per cent of banks that responded to the survey felt inefficient data management was their biggest challenge in terms of the regulatory reporting process. Generating regulatory templates or transposing all data correctly into the regulatory reporting templates was ranked as the second greatest challenge at 18 per cent.
This was followed by submitting data in the correct format at eight per cent and presenting calculations as outputs in the regulatory reporting at six per cent.
