Glossary definition: Australian Prudential Regulation Authority (APRA)

APRA: Regulating Australia's Financial Institutions

The Australian Prudential Regulation Authority (APRA) is an independent statutory authority of the Australian Government that was established in 1998 to oversee the prudential supervision of financial institutions in Australia. It is responsible for the regulation and supervision of banks, credit unions, building societies, insurance companies, friendly societies, superannuation funds, and other financial institutions. It does this by setting and enforcing prudential standards, monitoring and assessing compliance with those standards, and taking corrective action when necessary. APRA's primary objective is to protect the interests of depositors, policyholders, and superannuation fund members by ensuring the financial soundness and stability of the financial institutions it regulates. To achieve this, APRA works to promote the safety and soundness of the institutions it regulates, and to ensure that they are well managed and operate in accordance with prudent standards. APRA also works to ensure that the financial services industry operates in an efficient, fair and transparent manner, and to promote the orderly and fair functioning of financial markets.