The standing committee on economics has called ASIC, APRA, and the ACCC for its first post-budget hearing to ensure the regulators are keeping a close watch on Australia’s financial system.
Superannuation and the budget will be on the agenda when the standing committee on economics meets on Friday, with ASIC and APRA both set to appear.
“Of particular interest to the committee is hearing from ASIC regarding its guidance on the responsible lending obligations in light of the RBA Governor’s recent evidence to the committee, as well as whether they are taking action against super funds acting inappropriately,” said committee chair Tim Wilson.
“The committee is also interested in hearing how APRA is promoting strong prudential regulation and operational resilience amongst financial institutions, including super funds.”
The hearings have been vital to providing transparency on the functioning of Australia’s financial system through COVID-19, but have also recently become a hotbed of partisan infighting as the government is confronted with the difficult decision to potentially cut the SG increase.
While Friday will likely be less heated than previous hearings, the regulators will still face a grilling on how they’ve been handled the big four banks’ approach to remediation and whether Australia’s super funds are prepared for the Your Future, Your Super reforms.
“The COVID-19 pandemic has created unprecedented disruption and uncertainty in the financial sector,” Mr Wilson said.
“Now, more than ever, it is essential to maintain strong prudential regulation; promote competition; and ensure fair and transparent dealings to safeguard financial stability and consumer trust in the financial sector”.