{"id":"F2008L00435","name":"Financial Sector (Collection of Data) (reporting standard) determination No. 23 of 2008 - ARS 222.0 - Exposures to Related Entities","slug":"financial-sector-collection-of-data-reporting-standard-determination-no-23-of-2008-ars-222-0-exposur","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"repealed","isInForce":false,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":119161,"registerId":"commonwealth-F2008L00435-current","compilationNumber":null,"startDate":"2026-04-03","status":"Repealed","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"Reporting Standard ARS 222.0","sectionType":"part","heading":"Reporting Standard ARS 222.0","content":"## ![](image.001.png)\n\n## Reporting Standard ARS 222.0\n\n# Exposures to Related Entities\n\n### Objective of this reporting standard\n\nThis reporting standard is made under section 13 of the Financial Sector (Collection of Data) Act 2001 and outlines the overall requirements for the provision of information to APRA relating to an authorised deposit-taking institution’s exposures to related entities. It should be read in conjunction with Form ARF 222.0 Exposures to Related Entities designated for a ‘Licensed ADI/Extended Licensed Entity (ELE)’ and the associated instructions (each of which is attached and forms part of this reporting standard).\n\n# Purpose\n\n1.  Data collected in Form ARF 222.0 Exposures to Related Entities (Form ARF 222.0) is used by APRA for the purpose of prudential supervision. It may also be used by the Reserve Bank of Australia.\n\n# Application\n\n2. This reporting standard applies to all authorised deposit-taking institutions (ADIs).\n\n# Information required\n\n3. A branch of a foreign ADI or a specialist credit card institution operating through a branch in Australia must complete and provide to APRA, for the Australian branch, Part C of Form ARF 222.0 designated for a ‘Licensed ADI/ELE’, for each reporting period.\n\n4. All other ADIs must complete and provide to APRA Parts A and B of Form ARF 222.0 designated for a ‘Licensed ADI/ELE’ for each reporting period.\n\n# Form and method of submission\n\n5. The information required by this reporting standard must be given to APRA in electronic form, using one of the electronic submission mechanisms provided by the ‘Direct to APRA’ (also known as ‘D2A’) application.\n\nNote: the Direct to APRA application software may be obtained from APRA.\n\n# Reporting periods and due dates\n\n6. Subject to paragraph 7, an ADI to which this reporting standard applies must provide the information required by this reporting standard for each quarter based on the financial year (within the meaning of the Corporations Act 2001) of the ADI.\n\n7. APRA may, by notice in writing, change the reporting periods, or specified reporting periods, for a particular ADI, to require it to provide the information required by this reporting standard more frequently, or less frequently, having regard to:\n\n(a) the particular circumstances of the ADI;\n\n(b) the extent to which the information is required for the purposes of the prudential supervision of the ADI; and\n\n(c) the requirements of the Reserve Bank of Australia or the Australian Bureau of Statistics.\n\n8. The information required by this reporting standard must be provided to APRA in accordance with the table below. The right hand column of the table sets out the number of business days after the end of the reporting period to which the information relates within which information must be submitted to APRA by an ADI in the classes set out in the left hand column.\n\n| Class of ADI                              | Number of business days |\n| ----------------------------------------- | ----------------------- |\n| Australian-owned Bank                     | 20                      |\n| Foreign Subsidiary Bank                   | 20                      |\n| Branch of a Foreign Bank                  | 20                      |\n| Building Society                          | 15                      |\n| Credit Union[1]                           | 15                      |\n| Specialist Credit Card Institution (SCCI) | 15                      |\n| Other ADI                                 | 15                      |\n\n9. APRA may grant an ADI an extension of a due date in writing, in which case the new due date for the provision of the information will be the date on the notice of extension.\n\n# Quality control\n\n10. The information provided by an ADI under this reporting standard must be the product of processes and controls that have been reviewed and tested by the external auditor of the ADI. AGS 1008 ‘Audit Implications of Prudential Reporting Requirements for Authorised Deposit-taking Institutions’, issued by the Auditing and Assurance Standards Board provides guidance on the scope and nature of the review and testing required from external auditors. This review and testing must be done on an annual basis or more frequently if necessary to enable the external auditor to form an opinion on the accuracy and reliability of the data.\n\n11. All information provided by an ADI under this reporting standard must be subject to processes and controls developed by the ADI for the internal review and authorisation of that information. It is the responsibility of the board and senior management of the ADI to ensure that an appropriate set of policies and procedures for the authorisation of data submitted to APRA is in place.\n\n# Authorisation\n\n12. If an ADI submits information under this reporting standard using the ‘Direct to APRA’ software, it will be necessary for an officer of the ADI to digitally sign, authorise and encrypt the relevant data. For this purpose, APRA’s certificate authority will issue ‘digital certificates’, for use with the software, to officers of the ADI who have authority from the ADI to transmit the data to APRA.\n\n# Minor alterations to forms and instructions\n\n13. APRA may make minor variations to:\n\n> (a) a form that is part of this reporting standard, and the instructions to such a form, to correct technical, programming or logical errors, inconsistencies or anomalies; or\n\n> (b) the instructions to a form, to clarify their application to the form\n\n> without changing any substantive requirement in the form or instructions.\n\n14. If APRA makes such a variation it must notify in writing each ADI that is required to report under this reporting standard.\n\n# Transitional\n\n15. An ADI must report under the old reporting standard in respect of a transitional reporting period. For these purposes:\n\nold reporting standard means the reporting standard revoked in the determination making this reporting standard (being the reporting standard which this reporting standard replaces).\n\ntransitional reporting period means a reporting period under the old reporting standard:\n\n(a) which ended before the date of revocation of the old reporting standard; and\n\n(b) in relation to which the ADI was required, under the old reporting standard, to report by a date on or after the date of revocation of the old reporting standard.\n\nNote: for the avoidance of doubt, if an ADI was required to report under an old reporting standard, and the reporting documents were due before the date of revocation of the old reporting standard, the ADI is still required to provide the overdue reporting documents in accordance with the old reporting standard.\n\n# Interpretation\n\n16. In this reporting standard:\n\nAccounting Standard AASB 127 means the accounting standards so made by the Australian Accounting Standards Board.\n\nADI means an authorised deposit-taking institution within the meaning of the Banking Act 1959.\n\nAGS 1008 means the auditing and assurance standard entitled ‘Audit Implications of Prudential Reporting Requirements for Authorised Deposit-taking Institutions’ so made by the Auditing and Assurance Standards Board.\n\nAPRA means the Australian Prudential Regulation Authority established under the Australian Prudential Regulation Authority Act 1998.\n\nAustralian-owned bank means a locally incorporated ADI that assumes or uses the word ‘bank’ in relation to its banking business and is not a foreign subsidiary bank.\n\nbranch of a foreign bank means a ‘foreign ADI’ as defined in section 5 of the Banking Act 1959, but does not include a SCCI that is a foreign ADI.\n\nbuilding society means a locally incorporated ADI that assumes or uses the expression ‘building society’ in relation to its banking business.\n\nbusiness days means ordinary business days, exclusive of Saturdays, Sundays and public holidays.\n\nclass of ADI means each of the following:\n\n(i) Australian-owned bank;\n\n(ii) foreign subsidiary bank;\n\n(iii) branch of a foreign bank;\n\n(iv) building society;\n\n(v) credit union;\n\n(vi) other ADI; and\n\n(vii) specialist credit card institution.\n\nconsolidated ADI group means a group comprising:\n\n(a) an ADI that is a highest parent entity; and\n\n(b) each subsidiary (within the meaning of Accounting Standard AASB 127) of that ADI, whether the subsidiary is locally-incorporated or not, other than a subsidiary that is excluded by the instructions attached to this standard.\n\ncredit union means a locally incorporated ADI that assumes or uses the expression ‘credit union’ in relation to its banking business and includes Cairns Penny Savings & Loans Limited.\n\ndue date means the relevant due date under paragraph 8 or, if applicable, paragraph 9.\n\nExtended Licensed Entity (ELE) means, in relation to a locally-incorporated ADI, the ADI and each subsidiary of the ADI specified in the approval, given by APRA, on a consolidated basis in accordance with Prudential Standard APS 110 Capital Adequacy. The ELE forms a single entity for reporting purposes.\n\nforeign subsidiary bank means a locally incorporated ADI in which a bank that is not locally incorporated has a stake of more than 15 per cent.\n\nhighest parent entity means an ADI that satisfies all of the following conditions:\n\n(a) it is locally-incorporated;\n\n(b) it has at least one subsidiary (within the meaning of Accounting Standard AASB 127); and\n\n(c) it is not itself a subsidiary (within the meaning of Accounting Standard AASB 127) of an ADI that is locally-incorporated.\n\nlocally incorporated means incorporated in Australia or in a State or Territory of Australia, by or under a Commonwealth, State or territory law.\n\nother ADI means an ADI that is not an Australian-owned bank, a branch of a foreign bank, a building society, a credit union, a foreign subsidiary bank or a specialist credit card institution but does not include Cairns Penny Savings & Loans Limited.\n\nreporting period means a period mentioned in paragraph 6 or, if applicable, paragraph 7.\n\nspecialist credit card institution means an ADI that is subject to a condition on its authority under section 9 of the Banking Act 1959 confining the banking business that the ADI is authorised to carry on to the activities of credit card acquiring and credit card issuing in any credit card scheme that was designated as a payment system under section 11 of the Payment Systems (Regulation) Act 1998 on 11 April 2001.\n\nstake means a stake determined under the Financial Sector (Shareholdings) Act 1998, as if the only associates that were taken into account under paragraph (b) of subclause 10(1) of the Schedule to that Act were those set out in paragraphs (h), (j) and (l) of subclause 4(1).","sortOrder":0},{"sectionNumber":"Exposures to Related Entities","sectionType":"part","heading":"Exposures to Related Entities","content":"# Exposures to Related Entities\n\n### Objective of this reporting standard\n\nThis reporting standard is made under section 13 of the Financial Sector (Collection of Data) Act 2001 and outlines the overall requirements for the provision of information to APRA relating to an authorised deposit-taking institution’s exposures to related entities. It should be read in conjunction with Form ARF 222.0 Exposures to Related Entities designated for a ‘Licensed ADI/Extended Licensed Entity (ELE)’ and the associated instructions (each of which is attached and forms part of this reporting standard).\n\n# Purpose\n\n1.  Data collected in Form ARF 222.0 Exposures to Related Entities (Form ARF 222.0) is used by APRA for the purpose of prudential supervision. It may also be used by the Reserve Bank of Australia.\n\n# Application\n\n2. This reporting standard applies to all authorised deposit-taking institutions (ADIs).\n\n# Information required\n\n3. A branch of a foreign ADI or a specialist credit card institution operating through a branch in Australia must complete and provide to APRA, for the Australian branch, Part C of Form ARF 222.0 designated for a ‘Licensed ADI/ELE’, for each reporting period.\n\n4. All other ADIs must complete and provide to APRA Parts A and B of Form ARF 222.0 designated for a ‘Licensed ADI/ELE’ for each reporting period.\n\n# Form and method of submission\n\n5. The information required by this reporting standard must be given to APRA in electronic form, using one of the electronic submission mechanisms provided by the ‘Direct to APRA’ (also known as ‘D2A’) application.\n\nNote: the Direct to APRA application software may be obtained from APRA.\n\n# Reporting periods and due dates\n\n6. Subject to paragraph 7, an ADI to which this reporting standard applies must provide the information required by this reporting standard for each quarter based on the financial year (within the meaning of the Corporations Act 2001) of the ADI.\n\n7. APRA may, by notice in writing, change the reporting periods, or specified reporting periods, for a particular ADI, to require it to provide the information required by this reporting standard more frequently, or less frequently, having regard to:\n\n(a) the particular circumstances of the ADI;\n\n(b) the extent to which the information is required for the purposes of the prudential supervision of the ADI; and\n\n(c) the requirements of the Reserve Bank of Australia or the Australian Bureau of Statistics.\n\n8. The information required by this reporting standard must be provided to APRA in accordance with the table below. The right hand column of the table sets out the number of business days after the end of the reporting period to which the information relates within which information must be submitted to APRA by an ADI in the classes set out in the left hand column.\n\n| Class of ADI                              | Number of business days |\n| ----------------------------------------- | ----------------------- |\n| Australian-owned Bank                     | 20                      |\n| Foreign Subsidiary Bank                   | 20                      |\n| Branch of a Foreign Bank                  | 20                      |\n| Building Society                          | 15                      |\n| Credit Union[1]                           | 15                      |\n| Specialist Credit Card Institution (SCCI) | 15                      |\n| Other ADI                                 | 15                      |\n\n9. APRA may grant an ADI an extension of a due date in writing, in which case the new due date for the provision of the information will be the date on the notice of extension.\n\n# Quality control\n\n10. The information provided by an ADI under this reporting standard must be the product of processes and controls that have been reviewed and tested by the external auditor of the ADI. AGS 1008 ‘Audit Implications of Prudential Reporting Requirements for Authorised Deposit-taking Institutions’, issued by the Auditing and Assurance Standards Board provides guidance on the scope and nature of the review and testing required from external auditors. This review and testing must be done on an annual basis or more frequently if necessary to enable the external auditor to form an opinion on the accuracy and reliability of the data.\n\n11. All information provided by an ADI under this reporting standard must be subject to processes and controls developed by the ADI for the internal review and authorisation of that information. It is the responsibility of the board and senior management of the ADI to ensure that an appropriate set of policies and procedures for the authorisation of data submitted to APRA is in place.\n\n# Authorisation\n\n12. If an ADI submits information under this reporting standard using the ‘Direct to APRA’ software, it will be necessary for an officer of the ADI to digitally sign, authorise and encrypt the relevant data. For this purpose, APRA’s certificate authority will issue ‘digital certificates’, for use with the software, to officers of the ADI who have authority from the ADI to transmit the data to APRA.\n\n# Minor alterations to forms and instructions\n\n13. APRA may make minor variations to:\n\n> (a) a form that is part of this reporting standard, and the instructions to such a form, to correct technical, programming or logical errors, inconsistencies or anomalies; or\n\n> (b) the instructions to a form, to clarify their application to the form\n\n> without changing any substantive requirement in the form or instructions.\n\n14. If APRA makes such a variation it must notify in writing each ADI that is required to report under this reporting standard.\n\n# Transitional\n\n15. An ADI must report under the old reporting standard in respect of a transitional reporting period. For these purposes:\n\nold reporting standard means the reporting standard revoked in the determination making this reporting standard (being the reporting standard which this reporting standard replaces).\n\ntransitional reporting period means a reporting period under the old reporting standard:\n\n(a) which ended before the date of revocation of the old reporting standard; and\n\n(b) in relation to which the ADI was required, under the old reporting standard, to report by a date on or after the date of revocation of the old reporting standard.\n\nNote: for the avoidance of doubt, if an ADI was required to report under an old reporting standard, and the reporting documents were due before the date of revocation of the old reporting standard, the ADI is still required to provide the overdue reporting documents in accordance with the old reporting standard.\n\n# Interpretation\n\n16. In this reporting standard:\n\nAccounting Standard AASB 127 means the accounting standards so made by the Australian Accounting Standards Board.\n\nADI means an authorised deposit-taking institution within the meaning of the Banking Act 1959.\n\nAGS 1008 means the auditing and assurance standard entitled ‘Audit Implications of Prudential Reporting Requirements for Authorised Deposit-taking Institutions’ so made by the Auditing and Assurance Standards Board.\n\nAPRA means the Australian Prudential Regulation Authority established under the Australian Prudential Regulation Authority Act 1998.\n\nAustralian-owned bank means a locally incorporated ADI that assumes or uses the word ‘bank’ in relation to its banking business and is not a foreign subsidiary bank.\n\nbranch of a foreign bank means a ‘foreign ADI’ as defined in section 5 of the Banking Act 1959, but does not include a SCCI that is a foreign ADI.\n\nbuilding society means a locally incorporated ADI that assumes or uses the expression ‘building society’ in relation to its banking business.\n\nbusiness days means ordinary business days, exclusive of Saturdays, Sundays and public holidays.\n\nclass of ADI means each of the following:\n\n(i) Australian-owned bank;\n\n(ii) foreign subsidiary bank;\n\n(iii) branch of a foreign bank;\n\n(iv) building society;\n\n(v) credit union;\n\n(vi) other ADI; and\n\n(vii) specialist credit card institution.\n\nconsolidated ADI group means a group comprising:\n\n(a) an ADI that is a highest parent entity; and\n\n(b) each subsidiary (within the meaning of Accounting Standard AASB 127) of that ADI, whether the subsidiary is locally-incorporated or not, other than a subsidiary that is excluded by the instructions attached to this standard.\n\ncredit union means a locally incorporated ADI that assumes or uses the expression ‘credit union’ in relation to its banking business and includes Cairns Penny Savings & Loans Limited.\n\ndue date means the relevant due date under paragraph 8 or, if applicable, paragraph 9.\n\nExtended Licensed Entity (ELE) means, in relation to a locally-incorporated ADI, the ADI and each subsidiary of the ADI specified in the approval, given by APRA, on a consolidated basis in accordance with Prudential Standard APS 110 Capital Adequacy. The ELE forms a single entity for reporting purposes.\n\nforeign subsidiary bank means a locally incorporated ADI in which a bank that is not locally incorporated has a stake of more than 15 per cent.\n\nhighest parent entity means an ADI that satisfies all of the following conditions:\n\n(a) it is locally-incorporated;\n\n(b) it has at least one subsidiary (within the meaning of Accounting Standard AASB 127); and\n\n(c) it is not itself a subsidiary (within the meaning of Accounting Standard AASB 127) of an ADI that is locally-incorporated.\n\nlocally incorporated means incorporated in Australia or in a State or Territory of Australia, by or under a Commonwealth, State or territory law.\n\nother ADI means an ADI that is not an Australian-owned bank, a branch of a foreign bank, a building society, a credit union, a foreign subsidiary bank or a specialist credit card institution but does not include Cairns Penny Savings & Loans Limited.\n\nreporting period means a period mentioned in paragraph 6 or, if applicable, paragraph 7.\n\nspecialist credit card institution means an ADI that is subject to a condition on its authority under section 9 of the Banking Act 1959 confining the banking business that the ADI is authorised to carry on to the activities of credit card acquiring and credit card issuing in any credit card scheme that was designated as a payment system under section 11 of the Payment Systems (Regulation) Act 1998 on 11 April 2001.\n\nstake means a stake determined under the Financial Sector (Shareholdings) Act 1998, as if the only associates that were taken into account under paragraph (b) of subclause 10(1) of the Schedule to that Act were those set out in paragraphs (h), (j) and (l) of subclause 4(1).","sortOrder":1},{"sectionNumber":"Objective of this reporting standard","sectionType":"division","heading":"Objective of this reporting standard","content":"### Objective of this reporting standard\n\nThis reporting standard is made under section 13 of the Financial Sector (Collection of Data) Act 2001 and outlines the overall requirements for the provision of information to APRA relating to an authorised deposit-taking institution’s exposures to related entities. It should be read in conjunction with Form ARF 222.0 Exposures to Related Entities designated for a ‘Licensed ADI/Extended Licensed Entity (ELE)’ and the associated instructions (each of which is attached and forms part of this reporting standard).","sortOrder":2},{"sectionNumber":"Purpose","sectionType":"part","heading":"Purpose","content":"# Purpose\n\n1.  Data collected in Form ARF 222.0 Exposures to Related Entities (Form ARF 222.0) is used by APRA for the purpose of prudential supervision. It may also be used by the Reserve Bank of Australia.","sortOrder":3},{"sectionNumber":"Application","sectionType":"part","heading":"Application","content":"# Application\n\n2. This reporting standard applies to all authorised deposit-taking institutions (ADIs).","sortOrder":4},{"sectionNumber":"Information required","sectionType":"part","heading":"Information required","content":"# Information required\n\n3. A branch of a foreign ADI or a specialist credit card institution operating through a branch in Australia must complete and provide to APRA, for the Australian branch, Part C of Form ARF 222.0 designated for a ‘Licensed ADI/ELE’, for each reporting period.\n\n4. All other ADIs must complete and provide to APRA Parts A and B of Form ARF 222.0 designated for a ‘Licensed ADI/ELE’ for each reporting period.","sortOrder":5},{"sectionNumber":"Form and method of submission","sectionType":"part","heading":"Form and method of submission","content":"# Form and method of submission\n\n5. The information required by this reporting standard must be given to APRA in electronic form, using one of the electronic submission mechanisms provided by the ‘Direct to APRA’ (also known as ‘D2A’) application.\n\nNote: the Direct to APRA application software may be obtained from APRA.","sortOrder":6},{"sectionNumber":"Reporting periods and due dates","sectionType":"part","heading":"Reporting periods and due dates","content":"# Reporting periods and due dates\n\n6. Subject to paragraph 7, an ADI to which this reporting standard applies must provide the information required by this reporting standard for each quarter based on the financial year (within the meaning of the Corporations Act 2001) of the ADI.\n\n7. APRA may, by notice in writing, change the reporting periods, or specified reporting periods, for a particular ADI, to require it to provide the information required by this reporting standard more frequently, or less frequently, having regard to:\n\n(a) the particular circumstances of the ADI;\n\n(b) the extent to which the information is required for the purposes of the prudential supervision of the ADI; and\n\n(c) the requirements of the Reserve Bank of Australia or the Australian Bureau of Statistics.\n\n8. The information required by this reporting standard must be provided to APRA in accordance with the table below. The right hand column of the table sets out the number of business days after the end of the reporting period to which the information relates within which information must be submitted to APRA by an ADI in the classes set out in the left hand column.\n\n| Class of ADI                              | Number of business days |\n| ----------------------------------------- | ----------------------- |\n| Australian-owned Bank                     | 20                      |\n| Foreign Subsidiary Bank                   | 20                      |\n| Branch of a Foreign Bank                  | 20                      |\n| Building Society                          | 15                      |\n| Credit Union[1]                           | 15                      |\n| Specialist Credit Card Institution (SCCI) | 15                      |\n| Other ADI                                 | 15                      |\n\n9. APRA may grant an ADI an extension of a due date in writing, in which case the new due date for the provision of the information will be the date on the notice of extension.\n\n# Quality control\n\n10. The information provided by an ADI under this reporting standard must be the product of processes and controls that have been reviewed and tested by the external auditor of the ADI. AGS 1008 ‘Audit Implications of Prudential Reporting Requirements for Authorised Deposit-taking Institutions’, issued by the Auditing and Assurance Standards Board provides guidance on the scope and nature of the review and testing required from external auditors. This review and testing must be done on an annual basis or more frequently if necessary to enable the external auditor to form an opinion on the accuracy and reliability of the data.\n\n11. All information provided by an ADI under this reporting standard must be subject to processes and controls developed by the ADI for the internal review and authorisation of that information. It is the responsibility of the board and senior management of the ADI to ensure that an appropriate set of policies and procedures for the authorisation of data submitted to APRA is in place.\n\n# Authorisation\n\n12. If an ADI submits information under this reporting standard using the ‘Direct to APRA’ software, it will be necessary for an officer of the ADI to digitally sign, authorise and encrypt the relevant data. For this purpose, APRA’s certificate authority will issue ‘digital certificates’, for use with the software, to officers of the ADI who have authority from the ADI to transmit the data to APRA.\n\n# Minor alterations to forms and instructions\n\n13. APRA may make minor variations to:\n\n> (a) a form that is part of this reporting standard, and the instructions to such a form, to correct technical, programming or logical errors, inconsistencies or anomalies; or\n\n> (b) the instructions to a form, to clarify their application to the form\n\n> without changing any substantive requirement in the form or instructions.\n\n14. If APRA makes such a variation it must notify in writing each ADI that is required to report under this reporting standard.\n\n# Transitional\n\n15. An ADI must report under the old reporting standard in respect of a transitional reporting period. For these purposes:\n\nold reporting standard means the reporting standard revoked in the determination making this reporting standard (being the reporting standard which this reporting standard replaces).\n\ntransitional reporting period means a reporting period under the old reporting standard:\n\n(a) which ended before the date of revocation of the old reporting standard; and\n\n(b) in relation to which the ADI was required, under the old reporting standard, to report by a date on or after the date of revocation of the old reporting standard.\n\nNote: for the avoidance of doubt, if an ADI was required to report under an old reporting standard, and the reporting documents were due before the date of revocation of the old reporting standard, the ADI is still required to provide the overdue reporting documents in accordance with the old reporting standard.\n\n# Interpretation\n\n16. In this reporting standard:\n\nAccounting Standard AASB 127 means the accounting standards so made by the Australian Accounting Standards Board.\n\nADI means an authorised deposit-taking institution within the meaning of the Banking Act 1959.\n\nAGS 1008 means the auditing and assurance standard entitled ‘Audit Implications of Prudential Reporting Requirements for Authorised Deposit-taking Institutions’ so made by the Auditing and Assurance Standards Board.\n\nAPRA means the Australian Prudential Regulation Authority established under the Australian Prudential Regulation Authority Act 1998.\n\nAustralian-owned bank means a locally incorporated ADI that assumes or uses the word ‘bank’ in relation to its banking business and is not a foreign subsidiary bank.\n\nbranch of a foreign bank means a ‘foreign ADI’ as defined in section 5 of the Banking Act 1959, but does not include a SCCI that is a foreign ADI.\n\nbuilding society means a locally incorporated ADI that assumes or uses the expression ‘building society’ in relation to its banking business.\n\nbusiness days means ordinary business days, exclusive of Saturdays, Sundays and public holidays.\n\nclass of ADI means each of the following:\n\n(i) Australian-owned bank;\n\n(ii) foreign subsidiary bank;\n\n(iii) branch of a foreign bank;\n\n(iv) building society;\n\n(v) credit union;\n\n(vi) other ADI; and\n\n(vii) specialist credit card institution.\n\nconsolidated ADI group means a group comprising:\n\n(a) an ADI that is a highest parent entity; and\n\n(b) each subsidiary (within the meaning of Accounting Standard AASB 127) of that ADI, whether the subsidiary is locally-incorporated or not, other than a subsidiary that is excluded by the instructions attached to this standard.\n\ncredit union means a locally incorporated ADI that assumes or uses the expression ‘credit union’ in relation to its banking business and includes Cairns Penny Savings & Loans Limited.\n\ndue date means the relevant due date under paragraph 8 or, if applicable, paragraph 9.\n\nExtended Licensed Entity (ELE) means, in relation to a locally-incorporated ADI, the ADI and each subsidiary of the ADI specified in the approval, given by APRA, on a consolidated basis in accordance with Prudential Standard APS 110 Capital Adequacy. The ELE forms a single entity for reporting purposes.\n\nforeign subsidiary bank means a locally incorporated ADI in which a bank that is not locally incorporated has a stake of more than 15 per cent.\n\nhighest parent entity means an ADI that satisfies all of the following conditions:\n\n(a) it is locally-incorporated;\n\n(b) it has at least one subsidiary (within the meaning of Accounting Standard AASB 127); and\n\n(c) it is not itself a subsidiary (within the meaning of Accounting Standard AASB 127) of an ADI that is locally-incorporated.\n\nlocally incorporated means incorporated in Australia or in a State or Territory of Australia, by or under a Commonwealth, State or territory law.\n\nother ADI means an ADI that is not an Australian-owned bank, a branch of a foreign bank, a building society, a credit union, a foreign subsidiary bank or a specialist credit card institution but does not include Cairns Penny Savings & Loans Limited.\n\nreporting period means a period mentioned in paragraph 6 or, if applicable, paragraph 7.\n\nspecialist credit card institution means an ADI that is subject to a condition on its authority under section 9 of the Banking Act 1959 confining the banking business that the ADI is authorised to carry on to the activities of credit card acquiring and credit card issuing in any credit card scheme that was designated as a payment system under section 11 of the Payment Systems (Regulation) Act 1998 on 11 April 2001.\n\nstake means a stake determined under the Financial Sector (Shareholdings) Act 1998, as if the only associates that were taken into account under paragraph (b) of subclause 10(1) of the Schedule to that Act were those set out in paragraphs (h), (j) and (l) of subclause 4(1).","sortOrder":7},{"sectionNumber":"Class of ADI","sectionType":"part","heading":"Class of ADI","content":"# Class of ADI","sortOrder":8},{"sectionNumber":"Number of business days","sectionType":"part","heading":"Number of business days","content":"# Number of business days","sortOrder":9},{"sectionNumber":"Australian-owned Bank","sectionType":"part","heading":"Australian-owned Bank","content":"# Australian-owned Bank","sortOrder":10},{"sectionNumber":"20","sectionType":"part","heading":"20","content":"# 20","sortOrder":11},{"sectionNumber":"Foreign Subsidiary Bank","sectionType":"part","heading":"Foreign Subsidiary Bank","content":"# Foreign Subsidiary Bank","sortOrder":12},{"sectionNumber":"Branch of a Foreign Bank","sectionType":"part","heading":"Branch of a Foreign Bank","content":"# Branch of a Foreign Bank","sortOrder":14},{"sectionNumber":"Building Society","sectionType":"part","heading":"Building Society","content":"# Building Society","sortOrder":16},{"sectionNumber":"15","sectionType":"part","heading":"15","content":"# 15","sortOrder":17},{"sectionNumber":"Credit Union[1]","sectionType":"part","heading":"Credit Union[1]","content":"# Credit Union[\\[1\\]](#_ftn1)","sortOrder":18},{"sectionNumber":"Specialist Credit Card Institution (SCCI","sectionType":"part","heading":"Specialist Credit Card Institution (SCCI)","content":"# Specialist Credit Card Institution (SCCI)","sortOrder":20},{"sectionNumber":"Other ADI","sectionType":"part","heading":"Other ADI","content":"# Other ADI","sortOrder":22},{"sectionNumber":"Quality control","sectionType":"part","heading":"Quality control","content":"# Quality control\n\n10. The information provided by an ADI under this reporting standard must be the product of processes and controls that have been reviewed and tested by the external auditor of the ADI. AGS 1008 ‘Audit Implications of Prudential Reporting Requirements for Authorised Deposit-taking Institutions’, issued by the Auditing and Assurance Standards Board provides guidance on the scope and nature of the review and testing required from external auditors. This review and testing must be done on an annual basis or more frequently if necessary to enable the external auditor to form an opinion on the accuracy and reliability of the data.\n\n11. All information provided by an ADI under this reporting standard must be subject to processes and controls developed by the ADI for the internal review and authorisation of that information. It is the responsibility of the board and senior management of the ADI to ensure that an appropriate set of policies and procedures for the authorisation of data submitted to APRA is in place.","sortOrder":24},{"sectionNumber":"Authorisation","sectionType":"part","heading":"Authorisation","content":"# Authorisation\n\n12. If an ADI submits information under this reporting standard using the ‘Direct to APRA’ software, it will be necessary for an officer of the ADI to digitally sign, authorise and encrypt the relevant data. For this purpose, APRA’s certificate authority will issue ‘digital certificates’, for use with the software, to officers of the ADI who have authority from the ADI to transmit the data to APRA.","sortOrder":25},{"sectionNumber":"Minor alterations to forms and instructi","sectionType":"part","heading":"Minor alterations to forms and instructions","content":"# Minor alterations to forms and instructions\n\n13. APRA may make minor variations to:\n\n> (a) a form that is part of this reporting standard, and the instructions to such a form, to correct technical, programming or logical errors, inconsistencies or anomalies; or\n\n> (b) the instructions to a form, to clarify their application to the form\n\n> without changing any substantive requirement in the form or instructions.\n\n14. If APRA makes such a variation it must notify in writing each ADI that is required to report under this reporting standard.","sortOrder":26},{"sectionNumber":"Transitional","sectionType":"part","heading":"Transitional","content":"# Transitional\n\n15. An ADI must report under the old reporting standard in respect of a transitional reporting period. For these purposes:\n\nold reporting standard means the reporting standard revoked in the determination making this reporting standard (being the reporting standard which this reporting standard replaces).\n\ntransitional reporting period means a reporting period under the old reporting standard:\n\n(a) which ended before the date of revocation of the old reporting standard; and\n\n(b) in relation to which the ADI was required, under the old reporting standard, to report by a date on or after the date of revocation of the old reporting standard.\n\nNote: for the avoidance of doubt, if an ADI was required to report under an old reporting standard, and the reporting documents were due before the date of revocation of the old reporting standard, the ADI is still required to provide the overdue reporting documents in accordance with the old reporting standard.","sortOrder":27},{"sectionNumber":"Interpretation","sectionType":"part","heading":"Interpretation","content":"# Interpretation\n\n16. In this reporting standard:\n\nAccounting Standard AASB 127 means the accounting standards so made by the Australian Accounting Standards Board.\n\nADI means an authorised deposit-taking institution within the meaning of the Banking Act 1959.\n\nAGS 1008 means the auditing and assurance standard entitled ‘Audit Implications of Prudential Reporting Requirements for Authorised Deposit-taking Institutions’ so made by the Auditing and Assurance Standards Board.\n\nAPRA means the Australian Prudential Regulation Authority established under the Australian Prudential Regulation Authority Act 1998.\n\nAustralian-owned bank means a locally incorporated ADI that assumes or uses the word ‘bank’ in relation to its banking business and is not a foreign subsidiary bank.\n\nbranch of a foreign bank means a ‘foreign ADI’ as defined in section 5 of the Banking Act 1959, but does not include a SCCI that is a foreign ADI.\n\nbuilding society means a locally incorporated ADI that assumes or uses the expression ‘building society’ in relation to its banking business.\n\nbusiness days means ordinary business days, exclusive of Saturdays, Sundays and public holidays.\n\nclass of ADI means each of the following:\n\n(i) Australian-owned bank;\n\n(ii) foreign subsidiary bank;\n\n(iii) branch of a foreign bank;\n\n(iv) building society;\n\n(v) credit union;\n\n(vi) other ADI; and\n\n(vii) specialist credit card institution.\n\nconsolidated ADI group means a group comprising:\n\n(a) an ADI that is a highest parent entity; and\n\n(b) each subsidiary (within the meaning of Accounting Standard AASB 127) of that ADI, whether the subsidiary is locally-incorporated or not, other than a subsidiary that is excluded by the instructions attached to this standard.\n\ncredit union means a locally incorporated ADI that assumes or uses the expression ‘credit union’ in relation to its banking business and includes Cairns Penny Savings & Loans Limited.\n\ndue date means the relevant due date under paragraph 8 or, if applicable, paragraph 9.\n\nExtended Licensed Entity (ELE) means, in relation to a locally-incorporated ADI, the ADI and each subsidiary of the ADI specified in the approval, given by APRA, on a consolidated basis in accordance with Prudential Standard APS 110 Capital Adequacy. The ELE forms a single entity for reporting purposes.\n\nforeign subsidiary bank means a locally incorporated ADI in which a bank that is not locally incorporated has a stake of more than 15 per cent.\n\nhighest parent entity means an ADI that satisfies all of the following conditions:\n\n(a) it is locally-incorporated;\n\n(b) it has at least one subsidiary (within the meaning of Accounting Standard AASB 127); and\n\n(c) it is not itself a subsidiary (within the meaning of Accounting Standard AASB 127) of an ADI that is locally-incorporated.\n\nlocally incorporated means incorporated in Australia or in a State or Territory of Australia, by or under a Commonwealth, State or territory law.\n\nother ADI means an ADI that is not an Australian-owned bank, a branch of a foreign bank, a building society, a credit union, a foreign subsidiary bank or a specialist credit card institution but does not include Cairns Penny Savings & Loans Limited.\n\nreporting period means a period mentioned in paragraph 6 or, if applicable, paragraph 7.\n\nspecialist credit card institution means an ADI that is subject to a condition on its authority under section 9 of the Banking Act 1959 confining the banking business that the ADI is authorised to carry on to the activities of credit card acquiring and credit card issuing in any credit card scheme that was designated as a payment system under section 11 of the Payment Systems (Regulation) Act 1998 on 11 April 2001.\n\nstake means a stake determined under the Financial Sector (Shareholdings) Act 1998, as if the only associates that were taken into account under paragraph (b) of subclause 10(1) of the Schedule to that Act were those set out in paragraphs (h), (j) and (l) of subclause 4(1).","sortOrder":28},{"sectionNumber":"Instruction Guide","sectionType":"part","heading":"Instruction Guide","content":"# Instruction Guide\n\nPurpose\n\nThis form collects information on an authorised deposit-taking institution’s (ADI’s) exposures to individual counterparties that are related to the ADI.\n\nInformation reported on this form is prudentially important, as it will form part of APRA’s monitoring and analysis framework for the ADI and the industry.","sortOrder":29},{"sectionNumber":"Audit requirements","sectionType":"subdivision","heading":"Audit requirements","content":"#### Audit requirements\n\nThis form is subject to audit review and testing. The scope and nature of audit testing required is outlined in the applicable Audit Guidance Statement issued by the Auditing and Assurance Board of the Australian Accounting Research Foundation.","sortOrder":30},{"sectionNumber":"Reporting entity","sectionType":"part","heading":"Reporting entity","content":"## Reporting entity\n\nThis form is to be completed as follows:\n\n-   branches of foreign banks and Specialist Credit Card Institutions (SCCIs) operating through branches in Australia are only required to complete Part C of this form for the Australian branch (i.e. Parts A and B of this form are not applicable); and\n-   all other ADIs (including locally incorporated SCCIs) are required to complete Parts A and B of this form.","sortOrder":31},{"sectionNumber":"Unit of measurement","sectionType":"part","heading":"Unit of measurement","content":"## Unit of measurement\n\nAustralian-owned banks, foreign subsidiary banks and branches of foreign banks are asked to complete the form in millions of Australian dollars rounded to one decimal place, and for other non-bank ADIs (including SCCIs), in whole Australian dollars (no decimal place).\n\nAmounts denominated in foreign currency are to be converted to AUD in accordance with AASB 121 The Effects of Changes in Foreign Exchange Rates (AASB 121).\n\nThe general requirements of AASB 121 for translation are:\n\n1.  foreign currency monetary items outstanding at the reporting date must be translated at the spot rate at the reporting date;[\\[2\\]](#_ftn2)\n2.  foreign currency non-monetary items that are measured at historical cost in a foreign currency must be translated using the exchange rate at the date of the transaction;[\\[3\\]](#_ftn3)\n3.  foreign currency non-monetary items that are measured at fair value will be translated at the exchange rate at the date when fair value was determined.\n\nTransactions arising under foreign currency derivative contracts at the reporting date must be prepared in accordance with AASB 139 Financial Instruments: Recognition and Measurement (AASB 139). However, those foreign currency derivatives that are not within the scope of AASB 139 (e.g. some foreign currency derivatives that are embedded in other contracts) remain within the scope of AASB 121.\n\nFor APRA purposes equity items must be translated using the foreign currency exchange rate at the date of investment or acquisition. Post acquisition changes in equity are required to be translated on the date of the movement.\n\nAs foreign currency derivatives are measured at fair value, the currency derivative contracts are translated at the spot rate at the reporting date.\n\nExchange differences should be recognised in profit and loss in the period which they arise. For foreign currency derivatives, the exchange differences would be recognised immediately in profit and loss if the hedging instrument is a fair value hedge. For derivatives used in a cash flow hedge, the exchange differences should be recognised directly in equity.\n\nThe ineffective portion of the exchange differences in all hedges would be recognised in profit and loss; and\n\n4. translation of financial reports of foreign operations.\n\nA foreign operation is defined in AASB 121 as meaning an entity that is a subsidiary, associate, joint venture or branch of a reporting entity, the activities of which are based or conducted in a country or currency other than those of the reporting entity.\n\n-   Exchange differences relating to foreign currency monetary items that form part of the net investment of an entity in a foreign operation, must be recognised as a separate component of equity.\n-   Translation of financial reports should otherwise follow the requirements in AASB 121.","sortOrder":32},{"sectionNumber":"Reporting period","sectionType":"part","heading":"Reporting period","content":"## Reporting period\n\nThe form is to be completed as at the last day of the stated reporting quarter. Australian-owned banks, foreign subsidiary banks, branches of foreign banks and other ADIs should submit the completed form to APRA within 20 business days after the end of the relevant reporting quarter. Credit Unions, Cairns Penny Savings & Loans Limited, Building Societies and SCCIs should submit the completed form to APRA within 15 business days after the end of the relevant reporting quarter.\n\nBasis of preparation\n\nFor the purposes of this form, unless specifically advised in the ‘Instruction Guide for Specific Items’, ADIs are to report all exposures gross. No netting is to be recognised even if the ADI has in place netting agreements that are in the form of a legally recognised right to net or set off items of assets and liabilities in accordance with AASB 139, AASB 132 Financial Instruments: Disclosure and Presentation and AASB 7 Financial Instruments: Disclosures.\n\nDefinitions\n\nThis section provides guidance on the interpretation of certain items used in this form.","sortOrder":33},{"sectionNumber":"Licensed ADI","sectionType":"subdivision","heading":"Licensed ADI","content":"#### Licensed ADI\n\nThis refers to the operations of the reporting ADI on a stand-alone basis.\n\nSecuritisation deconsolidation principle\n\nExcept as otherwise specified in these instructions, the following applies:\n\n1.  Where an ADI (or a member of its Level 2 consolidated group) participates in a securitisation that meets APRA’s operational requirements for regulatory capital relief under Prudential Standard APS 120 Securitisation (APS 120):\n\n(a) special purpose vehicles (SPVs) holding securitised assets may be treated as non-consolidated independent third parties for regulatory reporting purposes, irrespective of whether the SPVs (or their assets) are consolidated for accounting purposes;\n\n(b) the assets, liabilities, revenues and expenses of the relevant SPVs may be excluded from the ADI’s reported amounts in APRA’s regulatory reporting returns; and\n\n(c) the underlying exposures (i.e. the pool) under such a securitisation may be excluded from the calculation of the ADI’s regulatory capital (refer to APS 120). However, the ADI must still hold regulatory capital for the securitisation exposures[\\[4\\]](#_ftn4) that it retains or acquires and such exposures are to be reported in Form ARF 120.0 Standardised – Securitisation or Forms ARF 120.1A to ARF 120.1C IRB – Securitisation (as appropriate). The RWA relating to such securitisation exposures must also be reported in Form ARF 110.0 Capital Adequacy (ARF 110.0).\n\n2. Where an ADI (or a member of its Level 2 consolidated group) participates in a securitisation that does not meet APRA’s operational requirements for regulatory capital relief under APS 120, or the ADI elects to treat the securitised assets as on-balance sheet assets under Prudential Standard APS 112 Capital Adequacy: Standardised Approach to Credit Risk (APS 112) or Prudential Standard APS 113 Capital Adequacy: Internal Ratings-based Approach to Credit Risk, such exposures are to be reported as on-balance sheet assets in APRA’s regulatory reporting returns. In addition, these exposures must also be reported as a part of the ADI’s total securitised assets within Form ARF 120.2 Securitisation – Supplementary Items.","sortOrder":34},{"sectionNumber":"Extended Licensed Entity (ELE)","sectionType":"subdivision","heading":"Extended Licensed Entity (ELE)","content":"#### Extended Licensed Entity (ELE)\n\nThis means, in relation to a locally-incorporated ADI:\n\n(a) the ADI; and\n\n(b) all subsidiaries of the ADI that have been approved under Prudential Standard APS 110 Capital Adequacy (APS 110) for the purposes of Prudential Standard APS 222 Associations with Related Entities (APS 222) (each made under s 11AF of the Banking Act 1959) taken together and treated as if they formed a single entity for the purposes of measuring the ADI’s exposures to related entities.\n\nSubject to specific requirements, APRA may deem a subsidiary of an ADI (other than an entity regulated by APRA or by a foreign equivalent) to be part of the ADI itself for the purposes of measuring the ADI’s exposures to related entities (refer to APS 110 and APS 222).","sortOrder":35},{"sectionNumber":"Related entities","sectionType":"subdivision","heading":"Related entities","content":"#### Related entities\n\nAll entities controlled (whether directly or indirectly) by an ADI (other than subsidiaries that form part of its ELE), or by the ultimate domestic parent of an ADI (including the parent entity itself) represent a “related entity” of an ADI. A “related entity” excludes the foreign parent(s) of an ADI, the foreign parent’s overseas based subsidiaries and their directly owned non-ADI entities operating in Australia.[\\[5\\]](#_ftn5) Where appropriate, APRA may deem that other entities (and their subsidiaries) represent a “related entity” of an ADI.","sortOrder":36},{"sectionNumber":"Subsidiary","sectionType":"subdivision","heading":"Subsidiary","content":"#### Subsidiary\n\nThis is defined in accordance with the definition provided in AASB 127 Consolidated and Separate Financial Statements (AASB 127) as “an entity that is controlled by another entity (known as the parent)” unless otherwise instructed by APRA.\n\nControl is defined by AASB 127 as “the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities”.","sortOrder":37},{"sectionNumber":"Parent entity","sectionType":"subdivision","heading":"Parent entity","content":"#### Parent entity\n\nThis is defined by AASB 127 as meaning “an entity that has one or more subsidiaries”.","sortOrder":38},{"sectionNumber":"Exposures","sectionType":"subdivision","heading":"Exposures","content":"#### Exposures\n\nAn exposure to an entity is the aggregate of all claims, commitments and contingent liabilities arising from on- and off-balance sheet transactions (in both the banking and trading books) with the entity. This includes equity investment in the entity.\n\nNote: Where credit risk is unequivocally transferred from the entity to another entity by an irrevocable letter of credit or a direct guarantee, the exposure is to be recorded against the other entity.","sortOrder":39},{"sectionNumber":"On-balance sheet exposures","sectionType":"subdivision","heading":"On-balance sheet exposures","content":"#### On-balance sheet exposures\n\nThis refers to items of assets that are recognised or recorded on the statement of financial position of the ADI/ELE (as appropriate).","sortOrder":40},{"sectionNumber":"Off-balance sheet exposures","sectionType":"subdivision","heading":"Off-balance sheet exposures","content":"#### Off-balance sheet exposures\n\nThis refers to items of assets or liabilities that are not recognised or recorded on the statement of financial position of the ADI because they do not satisfy the asset or liability accounting recognition requirements. Items that were treated as off-balance sheet items for the purpose of this form, pre-IFRS, will continue to be treated as off-balance sheet items, post-IFRS.\n\nInstruction guide for specific items\n\nThe form has the following reporting components:\n\nPart A: 10 Largest exposures to related entities\n\nPart A is to be completed by all Australian-owned banks and foreign subsidiary banks, and locally-incorporated non-bank ADIs (including SCCIs) on a licensed ADI or ELE basis (where applicable). Report in this part on a net basis (explained in detail below) the ADI’s/ELE’s (as appropriate) 10 largest exposures to individual related entities.\n\nThe following instructions are applicable to Part A of this form.\n\nName of entity\n\nReport in column 1 the names of the relevant individual related entities to which the ADI/ELE (as appropriate) has exposures to.\n\nCategory\n\nReport in column 2 the category of the related entity reported in column 1 using the following abbreviations:\n\n-   ADI for related ADIs (including overseas based equivalents);\n-   OR for other regulated related entities (i.e. any related entity other than an ADI or overseas based equivalent directly regulated by APRA or by a foreign equivalent); or\n-   UR for unregulated related entities.\n\nOn-balance sheet exposures\n\nReport all on-balance sheet exposures to the related entity noted in column 1. This includes all loans and advances to the related entity, equity investment in the related entity, and all other claims on the related entity. Any accrued interest associated with the exposure should also be included.\n\n3.1 Equity investment\n\nReport in column 3.1 the book value of equity investment in the related entity. Exclude any equity investment in the related entity that has been deducted from the ADI’s Level 1 (stand-alone) capital for capital adequacy purposes (refer to Prudential Standard APS 111 Capital Adequacy: Measurement of Capital (APS 111)).\n\n3.2 Other\n\nReport in column 3.2 the book value of all other on-balance sheet exposures to the related entity on a net basis. Net basis means net of exposures excluded under paragraphs 33(b)(ii)-(vi) in APS 222, specifically:\n\n-   exposures deducted from the ADI’s Level 1 (stand-alone) capital for capital adequacy purposes (refer to APS 111);\n-   exposures to the extent that they are secured by cash deposits (subject to satisfying the criteria set out in Attachment G to APS 112);\n-   exposures to the extent that they are guaranteed by governments, or secured by government securities (subject to satisfying the conditions set out in APS 112);\n-   exposures arising in the course of settlement of market-related contracts; and\n-   exposures to the extent that they have been written off or specifically provided for.\n\nOff-balance sheet exposures\n\n4.1. Non-market related\n\nThis includes all commitments, whether revocable or not, which have been advised to the related entity reported in column 1 (refer to Table 3 in Attachment B to APS 112 for examples of these commitments). For SCCIs that are involved in self-acquiring of credit card transactions, include any potential chargeback exposures to the related entity (merchant).\n\nExclude:\n\n-   internal limits that have not been formally advised to the related entity and may be cancelled at the ADI’s/ELE’s (as appropriate) discretion.\n\nReport in column 4.1 the value of all unused commitments to the related entity (do not apply credit conversion factors or risk weightings to the value) on a net basis (i.e. net of exposures excluded under paragraphs 33(b)(ii)-(vi) in APS 222 as detailed in point 3.2 above).\n\nSCCIs should use their own methodology in determining the amount of potential chargeback exposures to the related entity (e.g. this could be based on the SCCI’s historical trends of chargeback exposures to the related entity). Any funds held as performance bond from related entities for settling any outstanding liabilities to the reporting SCCI (e.g. reimbursement for merchant chargebacks) must be placed in a trust account with an ADI authorised to accept deposits to be eligible for netting purposes.\n\nExposures arising from repos (i.e. sale and repurchase agreements) and reverse repos (i.e. purchase and resale agreements) of securities should be reported as exposures to the issuer of the securities and collateralised loans to the counterparty respectively.\n\n4.2. Market related\n\nInclude:\n\n-   all exposures arising from off-balance sheet market related contracts with the related entity reported in column 1 (refer to Attachment B to APS 112) for examples of these contracts).\n\nReport in column 4.2 the credit equivalent amounts of all market related contracts on a net basis (i.e. net of exposures excluded under paragraphs 33(b)(ii)-(vi) in APS 222 as detailed in point 3.2 above). The credit equivalent amounts of these contracts are to be calculated in accordance with Attachment B of APS 112 or Attachment I to APS 112 where netting applies. Netting by novation and close-out netting are permissible for market related contracts provided all the requirements set out in Attachment I to APS 112 for bilateral netting are met.\n\nTotal exposures\n\n5.1 Amount\n\nThis represents the total of column numbers 3.1, 3.2, 4.1 and 4.2.\n\n5.2 As % of capital base\n\nThis represents the value reported for column 5.1 divided by the ADI’s capital base as reported in ‘Memorandum items’ (i).\n\nMemorandum items\n\n(i) Capital base of licensed ADI\n\nReport the ADI’s capital base at Level 1 for the reporting quarter (as shown in ARF 110.0 for the same reporting quarter).\n\n(ii) Aggregate exposure to all related ADIs (including overseas based equivalents)\n\nReport the ADI’s/ELE’s (as appropriate) aggregate exposure to all related ADIs and related overseas based equivalents on a net basis (i.e. net of exposures excluded under paragraphs 33(b)(ii)-(vi) in APS 222 as detailed in points 3.1 and 3.2 above).\n\n(iii) Aggregate exposure to all related entities other than related ADIs and related overseas based equivalents\n\nReport the ADI’s/ELE’s (as appropriate) aggregate exposure to all related entities other than related ADIs and related overseas based equivalents on a net basis (i.e. net of exposures excluded under paragraphs 33(b)(ii)-(vi) in APS 222 as detailed in points 3.1 and 3.2 above).\n\nPart B: 10 Largest exposures to ELE-eligible subsidiaries\n\nPart B is to be completed by all Australian-owned banks and foreign subsidiary banks and locally-incorporated non-bank ADIs (including SCCIs) that have APRA-approved ELE\\-eligible subsidiaries. Report in this part on a net basis (explained in detail below) the ADI’s 10 largest exposures to individual subsidiaries that form part of the ADI’s ELE (i.e. 10 largest exposures to ELE\\-eligible subsidiaries).\n\nThe following instructions are applicable to Part B of this form.\n\nName of entity\n\nReport in column 1 the names of the relevant individual ELE-eligible subsidiaries to which the ADI has exposures to.\n\nOn-balance sheet exposures\n\nReport all on-balance sheet exposures to the subsidiary noted in column 1. This includes all loans and advances to the subsidiary, equity investment in the subsidiary, and all other claims on the subsidiary. Any accrued interest associated with the exposure should also be included.\n\nEquity investment\n\nReport in column 2.1 the book value of equity investment in the subsidiary. Exclude any equity investment in the subsidiary that has been deducted from the ADI’s Level 1 (stand-alone) capital for capital adequacy purposes (refer to APS 111).\n\nOther\n\nReport in column 2.2 the book value of all other on-balance sheet exposures to the subsidiary on a net basis. Net basis means net of the following exposures:\n\n-   exposures deducted from the ADI’s Level 1 (stand-alone) capital for capital adequacy purposes (refer to APS 111);\n-   exposures to the extent that they are secured by cash deposits (subject to satisfying the criteria set out in Attachment B to APS 112;\n-   exposures to the extent that they are guaranteed by governments, or secured by government securities (subject to satisfying the conditions set out in APS 112);\n-   exposures arising in the course of settlement of market-related contracts; and\n-   exposures to the extent that they have been written off or specifically provided for.\n\n1.  Off-balance sheet exposures\n\n3.1 Non-market related\n\nInclude:\n\n-   all commitments, whether revocable or not, which have been advised to the subsidiary reported in column 1 (refer to Attachment B to APS 112 for examples of these commitments).\n\nExclude:\n\n-   internal limits that have not been formally advised to the subsidiary and may be cancelled at the ADI’s discretion.\n\nReport in column 3.1 the value of all unused commitments to the subsidiary (do not apply credit conversion factors or risk weightings to the value) on a net basis (i.e. net of exposures detailed in point 2.2 above).\n\n3.2 Market related\n\nInclude:\n\n-   all exposures arising from off-balance sheet market related contracts with the subsidiary reported in column 1 (refer to Attachment B to APS 112 for examples of these contracts).\n\nReport in column 3.2 the credit equivalent amounts of all market related contracts on a net basis (i.e. net of exposures detailed in point 2.2 above). The credit equivalent amounts of these contracts are to be calculated in accordance with Attachments B and Attachment I of APS 112 where netting applies. Netting by novation and close-out netting are permissible for market related contracts provided all the requirements set out in Attachment I of APS 112 for bilateral netting are met.\n\n2. Total exposures\n\nThis represents the total of column numbers 2.1, 2.2, 3.1 and 3.2.\n\n3. Memorandum item\n\nAggregate exposure to all ELE\\-eligible subsidiaries\n\nReport the ADI’s aggregate exposure to all ELE-eligible subsidiaries on a net basis (i.e. net of exposures detailed in points 2.1 and 2.2 above).\n\nPart C: Exposures to head office, overseas branches, Australian and overseas subsidiaries\n\nPart C is to be completed by all foreign ADIs and SCCIs that operate as branches in Australia. Report in this part on a net basis (explained in detail below) exposures of the Australian branch to head office, to individual overseas branches, as well as to individual Australian and overseas subsidiaries of parent.\n\nThe following instructions are applicable to Part C of this form.\n\n1.  Name of entity\n\nReport in column 1 the name of the entity to which the Australian branch has exposures to.\n\n2. On-balance sheet exposures\n\nThis includes all loans and advances and all other claims on the entity noted in column 1. Any accrued interest associated with the exposure should also be included.\n\nReport in column 2 the book value of all on-balance sheet exposures to the entity on a net basis. Net basis means net of the following exposures:\n\n-   exposures to the extent that they are secured by cash deposits (subject to satisfying the criteria set out in Attachment G to APS 112);\n-   exposures to the extent that they are guaranteed by governments, or secured by government securities (subject to satisfying the conditions set out in APS 112);\n-   exposures arising in the course of settlement of market-related contracts; and\n-   exposures to the extent that they have been written off or specifically provided for.\n\n3. Off-balance sheet exposures\n\n3.1 Non-market related\n\nInclude:\n\n-   all commitments, whether revocable or not, which have been advised to the entity reported in column 1 (refer to Table 3 of Attachment B to APS 112 for examples of these commitments).\n\nExclude:\n\n-   internal limits that have not been formally advised to the entity and may be cancelled at the branch’s discretion.\n\nReport in column 3.1 the value of all unused commitments to the entity (do not apply credit conversion factors or risk weightings to the value) on a net basis (i.e. net of exposures detailed in point 2 above).\n\nExposures arising from repos (i.e. sale and repurchase agreements) and reverse repos (i.e. purchase and resale agreements) of securities should be reported as exposures to the issuer of the securities and collateralised loans to the counterparty respectively.\n\n3.2 Market related\n\nInclude:\n\n-   all exposures arising from off-balance sheet market related contracts with the entity reported in column 1 (refer to Attachment B to APS 112 for examples of these contracts).\n\nReport in column 3.2 the credit equivalent amounts of all market related contracts on a net basis (i.e. net of exposures detailed in point 2 above). The credit equivalent amounts of these contracts are to be calculated in accordance with Attachment I to APS 112 where netting applies. Netting by novation and close-out netting are permissible for market related contracts provided all the requirements set out in Attachment I to APS 112 for bilateral netting are met.\n\n4. Total exposures\n\nThis represents the total of column numbers 2, 3.1 and 3.2.","sortOrder":41}],"analysis":{"flash_summary":{"complexity_score":6,"scope_assessment":{"changed":false,"description":"The determination continues the established reporting regime for exposures to related entities and applies to all ADIs; it replaces an earlier reporting standard but does not introduce a new substantive scope. Transitional provisions preserve reporting obligations for periods covered by the old standard (para 15)."},"complexity_factors":["Multiple reporting templates and parts (Parts A–C) that apply to different ADI classes (paras 3–4; Instruction Guide Part A–C).","Class-specific deadlines and submission windows (para 8; Reporting period instructions) — 15 or 20 business days depending on ADI class.","Netting, exclusion and measurement rules that cross‑reference Prudential Standards APS 111, APS 112, APS 120 and APS 222 (Instruction Guide: basis of preparation; Parts A–C netting rules).","Foreign currency translation and valuation rules referencing AASB 121 and AASB 139 (Unit of measurement section).","Securitisation deconsolidation and treatment of SPVs with specific reporting carve-outs (Instruction Guide — securitisation deconsolidation principle).","Audit and internal control requirements referencing AGS 1008 and annual auditor review obligations (paras 10–11; Audit requirements).","Electronic submission, encryption and digital certificate requirements that create operational dependencies on APRA’s D2A system and certificate authority (para 5; para 12).","APRA discretion to change reporting frequency for particular ADIs and to make minor non‑substantive form variations (para 7; paras 13–14), increasing regulatory uncertainty for some entities."],"plain_english_summary":"Requires all authorised deposit-taking institutions (ADIs) to submit electronic returns (Form ARF 222.0) to APRA reporting their exposures to related entities. Branches of foreign ADIs and SCCIs file Part C; other ADIs file Parts A and B. APRA may vary reporting frequency or grant extensions; ADIs must meet 15–20 business‑day deadlines, maintain audited controls, and digitally sign submissions."},"kimi_summary":{"_metrics":{"model":"kimi-k2.5","source":"moonshot-realtime","completionTokens":2964},"content_quality":"ok","complexity_score":6,"scope_assessment":{"changed":false,"description":"The determination maintains a focused scope on prudential reporting of exposures to related entities by ADIs, consistent with the original purpose under the Financial Sector (Collection of Data) Act 2001. While the standard revokes and replaces a previous reporting standard (as noted in transitional provisions), there is no indication of expansion beyond the core supervisory function of monitoring related-party concentration risk."},"complexity_factors":["16 defined terms requiring cross-references to other legislation including the Banking Act 1959, Financial Sector (Shareholdings) Act 1998, and Accounting Standard AASB 127","Extensive cross-referencing to 5 separate prudential standards (APS 110, 111, 112, 120, 222) for calculation methodologies and capital treatment","Differentiated reporting obligations across 7 distinct ADI classes with varying due dates (15 vs 20 business days) and form completion requirements","Complex 'net basis' calculation methodology requiring specific exclusions per APS 222 paragraphs 33(b)(ii)-(vi) including cash-secured exposures, government guarantees, and settlement exposures","Foreign currency translation requirements referencing AASB 121 and AASB 139 with specific rules for monetary items, non-monetary items, and hedging instruments","Technical segregation between on-balance sheet exposures, off-balance sheet non-market related commitments, and off-balance sheet market-related contracts requiring credit equivalent calculations","Detailed securitisation deconsolidation principles determining when special purpose vehicles are treated as independent third parties versus consolidated entities"],"plain_english_summary":"Banks and other ADIs must report to APRA how much exposure they have to related entities (companies they control or are controlled by). This applies to Australian and foreign-owned banks, branches, building societies, credit unions and specialist card issuers.\n\nReports are submitted quarterly via APRA’s electronic system, subject to authorised sign-off and annual external-audit controls. The data helps APRA and the RBA spot concentration and contagion risks from intra-group exposures."}},"importantCases":[],"_links":{"self":"/api/acts/financial-sector-collection-of-data-reporting-standard-determination-no-23-of-2008-ars-222-0-exposur","history":"/api/acts/financial-sector-collection-of-data-reporting-standard-determination-no-23-of-2008-ars-222-0-exposur/history","analysis":"/api/acts/financial-sector-collection-of-data-reporting-standard-determination-no-23-of-2008-ars-222-0-exposur/analysis","conflicts":"/api/acts/financial-sector-collection-of-data-reporting-standard-determination-no-23-of-2008-ars-222-0-exposur/conflicts","importantCases":"/api/acts/financial-sector-collection-of-data-reporting-standard-determination-no-23-of-2008-ars-222-0-exposur/important-cases","documents":"/api/acts/financial-sector-collection-of-data-reporting-standard-determination-no-23-of-2008-ars-222-0-exposur/documents"}}