Part I
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Commonwealth act
The Banking Act 1959 is Australia’s core law on who may take deposits and how banks must be run. It requires APRA approval for deposit-taking, imposes prudential rules and supervision, provides a government-backed deposit payout scheme, and gives APRA strong intervention powers to protect stability.
It affects everyday depositors, authorised deposit‑taking institutions (and their owners, directors and senior managers), and foreign banks operating here — ensuring deposit protection and reducing systemic banking risk.
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Direct links to the current provisions in Banking Act 1959.
This Act may be cited as the Banking Act 1959.
Except as otherwise provided by this Act, this Act shall come into operation on the day on which the Reserve Bank Act 1959 comes into operation.
(1) The main objects of this Act are: (a) to protect the interests of depositors in ADIs in ways that are consistent with the continued development of a viable, competitive and innovative banking industry; and (b) to promote financial system stability in Australia. (2) This Act, and the prudential standards and non‑ADI lender rules determined by APRA under this Act, achieve this mainly by: (a) restricting who can carry on banking business in Australia; and (b) providing for the prudential supervision of ADIs by APRA, by APRA determining prudential standards or taking other action to ensure prudent management of ADIs; and (c) providing for APRA to manage or respond to circumstances in which the ability of an ADI to meet its obligations may be threatened; and (d) providing for certain account‑holders to be paid amounts where the financial claims scheme has been declared to apply in relation to an ADI; and (f) for the purposes of paragraph (1)(b)—providing rules in relation to the provision of certain kinds of finance by non‑ADI lenders. (3) It is intended that APRA, in taking actions to address risks to financial system stability in Australia, may consider specific sources of systemic risks, whether geographic, sectoral or otherwise. (4) This section does not apply to the following: (a) Divisions 4 (Mobilization of foreign currency) and 5 (Advances) of Part II; (b) Parts III (Foreign exchange, foreign investment etc.), IV (Gold) and V (Interest rates); (c) any other provision of this Act, to the extent that it relates to any of the provisions mentioned in paragraph (a) or (b).
The following Acts are repealed: Banking Act 1945; Banking Act 1953.
Definitions (1) In this Act, unless the contrary intention appears:
account‑holder means an entity (as defined in section 960‑100 of the Income Tax Assessment Act 1997) that holds in its name, or keeps in its name, (either alone or jointly with another entity) an account or covered financial product with an ADI.
action that is likely to have a detrimental effect on financial system stability in New Zealand includes an action that prevents or interferes with an outsourcing arrangement.
ADI is short for authorised deposit‑taking institution.
administrator, of a body corporate’s business, means an administrator appointed under subsection 13A(1) to take control of the body corporate’s business.
advance includes loan.
appointed auditor means an auditor appointed in accordance with the prudential standards.
approved form means a form approved, in writing, by APRA.
APRA means the Australian Prudential Regulation Authority.
APRA member has the same meaning as in the Australian Prudential Regulation Authority Act 1998.
APRA Special Account has the same meaning as in the Australian Prudential Regulation Authority Act 1998.
APRA staff member has the same meaning as in the Australian Prudential Regulation Authority Act 1998.
ASIC means the Australian Securities and Investments Commission.
Australia includes the Territories.
Australian business assets and liabilities, of a foreign ADI, has the meaning given by subsection 11E(3).
authorised deposit‑taking institution means a body corporate in relation to which an authority under subsection 9(3) is in force.
authorised NOHC means a body corporate:
(a) in relation to which an authority under subsection 11AA(2) is in force; and
(b) that is a NOHC of an ADI or ADIs.
Banking Act statutory manager has the meaning given by subsection 13A(2).
banking business means:
(a) a business that consists of banking within the meaning of paragraph 51(xiii) of the Constitution; or
(b) a business that is carried on by a corporation to which paragraph 51(xx) of the Constitution applies and that consists, to any extent, of:
(i) both taking money on deposit (otherwise than as part‑payment for identified goods or services) and making advances of money; or
(ii) other financial activities prescribed by the regulations for the purposes of this definition.
business day means a day that is not a Saturday, a Sunday or a public holiday or bank holiday in the place concerned.
civil penalty provision: a subsection of this Act (or a section of this Act that is not divided into subsections) is a civil penalty provision if:
(a) the words “civil penalty” and one or more amounts in penalty units are set out at the foot of the subsection (or section); or
(b) another provision of this Act specifies that the subsection (or section) is a civil penalty provision.
Note: Schedule 2 deals with contraventions of civil penalty provisions, and treats people who are involved in various ways in such a contravention as if they had contravened the provision concerned.
covered bond has the meaning given by subsection 26(1).
covered bond liabilities has the meaning given by subsections 26(4) and (5).
covered bond special purpose vehicle has the meaning given by subsection 26(1).
covered financial product has the meaning given by subsection (8).
cover pool has the meaning given by subsection 26(3).
declaration time for an ADI means the time the ADI becomes a declared ADI.
declared ADI means an ADI specified in a declaration under section 16AD as an ADI in relation to which Subdivision C of Division 2AA of Part II applies.
direction under this Act means a direction under any of the following provisions:
(a) section 11CA;
(b) section 11CC;
(c) section 13E;
(d) section 17;
(e) section 23;
(f) section 29;
(g) section 31F.
external administrator means any of the following:
(a) a liquidator;
(b) a receiver, manager, managing controller, receiver and manager or other controller (other than a Banking Act statutory manager);
(c) a voluntary administrator or administrator of a deed of a company arrangement or a scheme manager.
Expressions used in this definition have the same meanings as they have in the Corporations Act 2001.
Finance Minister means the Minister who administers the Public Governance, Performance and Accountability Act 2013.
Financial Claims Scheme Special Account has the same meaning as in the Australian Prudential Regulation Authority Act 1998.
financial market has the same meaning as in Chapter 7 of the Corporations Act 2001.
Financial System Stability Special Account means the Financial System Stability Special Account established by section 70E.
foreign ADI means a body corporate that:
(a) is a foreign corporation within the meaning of paragraph 51(xx) of the Constitution; and
(b) is authorised to carry on banking business in a foreign country; and
(c) has been granted an authority under section 9 to carry on banking business in Australia.
holding company, of a body corporate, means another body corporate of which the first body corporate is a subsidiary.
industry support contract means a contract under which emergency financial support is to be provided by parties to the contract to any ADI that is a party to the contract if a specified event occurs. The contract may also deal with matters associated with the provision of the financial support.
insolvent, in relation to a body corporate, means that the body corporate is not able to pay all its debts as and when they become due and payable.
investigator means a person APRA appoints under subsection 13(4), 13A(1) or 61(1).
issuing ADI has the meaning given by subsection 26(6).
lawyer means a duly qualified legal practitioner and, in relation to a person, means such a practitioner acting for the person.
liquidator includes a provisional liquidator.
listing rules has the same meaning as in the Corporations Act 2001.
net credit balance:
(a) the net credit balance, at a time, of an account means the excess of the balance of the account in credit in favour of the account‑holder at that time over the amount (if any) of fees, charges and duties that are identified under the agreement under which the account is kept and are payable by the account‑holder to the ADI at that time; and
(b) the net credit balance, at a time, of a covered financial product that is not an account means the amount owed to the account‑holder at that time under the terms of the agreement under which the covered financial product is kept.
New Zealand registered bank means a registered bank, as defined in section 2 of the Reserve Bank of New Zealand Act 1989 of New Zealand, that carries on a business in New Zealand.
NOHC is short for non‑operating holding company.
NOHC authority means an authority under subsection 11AA(2).
NOHC/NOHC subsidiary has the meaning given by subsection 13D(5).
non‑ADI lender has the meaning given by section 38B.
non‑ADI lender rule means a rule under section 38C.
non‑operating holding company means, in relation to a body corporate, a body corporate:
(a) of which the first body corporate is a subsidiary; and
(b) that does not carry on a business (other than a business consisting of the ownership or control of other bodies corporate); and
(c) that is incorporated in Australia.
outsourcing arrangement means an arrangement for the business of a New Zealand registered bank, or functions relating to such business, to be carried on by an entity other than the bank.
Part IIB provision of finance has the meaning given by section 38B.
personal information has the same meaning as in the Privacy Act 1988.
prescribed New Zealand authority means the following:
(a) the Reserve Bank of New Zealand;
(b) an authority of the government of New Zealand that:
(i) has statutory responsibilities relating to prudential regulation or financial system stability; and
(ii) is prescribed by the regulations for the purposes of this definition.
protected account has the meaning given by subsections (4), (5), (6) and (7).
prudential matters means matters relating to:
(a) the conduct of any part of the affairs of, or the structuring or organising of, an ADI, an authorised NOHC, a relevant group of bodies corporate, or a particular member or members of such a group, in such a way as:
(i) to keep the ADI, NOHC, group or member or members of the group in a sound financial position; or
(ii) to facilitate resolution of the ADI, NOHC, group or member or members of the group; or
(iii) to protect the interests of depositors of any ADI; or
(iv) not to cause or promote instability in the Australian financial system; or
(v) not to cause or promote instability in the New Zealand financial system; or
(b) the conduct of any part of the affairs of an ADI, an authorised NOHC, a relevant group of bodies corporate, or a particular member or members of such a group, with integrity, prudence and professional skill.
prudential requirement regulation means a regulation under section 11A.
prudential standard means a standard under section 11AF.
recapitalisation direction means a direction given by APRA under subsection 13E(1) or (1B).
related body corporate, in relation to a body corporate, means a body corporate that is related to the first‑mentioned body, as determined in accordance with subsection 5(2A).
relevant group of bodies corporate has the meaning given by subsection 5(3).
resolution means the process by which APRA or other relevant persons manage or respond to an entity:
(a) being unable to meet its obligations; or
(b) being considered likely to be unable, or being considered likely to become unable, to meet its obligations; or
(c) suspending payment, or being considered likely to suspend payment;
including through the exercise of powers and functions under this Act or another law.
section 9 authority means an authority under subsection 9(3).
senior manager of an ADI or an authorised NOHC or the Australian operations of a foreign ADI means a person who has or exercises any of the senior management responsibilities (within the meaning of the prudential standards) for the ADI or NOHC or for the Australian operations of the foreign ADI, as the case may be.
subsidiary has the meaning given by subsection (2).
the Reserve Bank means the Reserve Bank of Australia.
transferred liabilities determination means a determination under subsection 16AIA(1).
ultimate termination of control has the meaning given by subsection 13C(1).
Subsidiary (2) For the purposes of this Act, the question whether a body corporate is a subsidiary of another body corporate is to be determined in the same way as that question is determined for the purposes of the Corporations Act 2001. Related bodies corporate (2A) For the purposes of this Act, the question whether a body corporate is related to another body corporate is to be determined in the same way as that question is determined for the purposes of the Corporations Act 2001. Relevant group of bodies corporate (3) For the purposes of this Act: (a) an ADI and its subsidiaries together constitute a relevant group of bodies corporate; and (b) an authorised NOHC and its subsidiaries together also constitute a relevant group of bodies corporate. Protected account (4) Subject to subsections (5), (6) and (7), a protected account is an account or covered financial product that is kept by an account‑holder (whether alone or jointly with one or more other account‑holders) with an ADI and either: (a) is an account that is prescribed by the regulations for the purposes of this paragraph; or (b) is an account, or covered financial product, that is kept under an agreement between the account‑holder and the ADI requiring the ADI to pay the account‑holder, on demand by the account‑holder or at a time agreed by them, the net credit balance of the account or covered financial product at the time of the demand or the agreed time (as appropriate).
Note: Paragraph (a)—the regulations may prescribe the account by reference to a class of accounts: see subsection 13(3) of the Legislation Act 2003.
(5) An account is not a protected account on and after 12 October 2011 unless: (a) it is recorded in Australian currency; or (b) it is kept with an ADI that is a declared ADI on 12 October 2011. (6) A covered financial product that is kept with an ADI and is not an account is not a protected account if APRA applies under section 16AAA for an order that the ADI be wound up. (7) An account or covered financial product is not a protected account if the account or covered financial product is prescribed by the regulations for the purposes of this subsection.
Note: The regulations may prescribe the account or covered financial product by reference to a class of accounts or financial products: see subsection 13(3) of the Legislation Act 2003.
Covered financial product (8) The Minister may declare that a specified financial product is a covered financial product.
Note: The declaration may specify the product by reference to a class of financial products: see subsection 13(3) of the Legislation Act 2003.
(9) A declaration made under subsection (8), or an amendment of the declaration, is a legislative instrument, but section 42 (disallowance) of the Legislation Act 2003 does not apply to the declaration or amendment.
Note: Part 4 of Chapter 3 (sunsetting) of the Legislation Act 2003 does not apply to the declaration or amendment: see regulations made for the purposes of paragraph 54(2)(b) of that Act.
(10) Despite subsection 12(1) of the Legislation Act 2003, the declaration or amendment commences from the time it is made. (11) Subsection 12(2) (retrospective application of legislative instruments) of the Legislation Act 2003 does not apply to the declaration or amendment.
(1) Nothing in Part II or V, or in sections 61 to 69 (inclusive), applies with respect to State banking. (2) Subject to section 6A, this Act extends to all the Territories.
The Treasurer may, by legislative instrument, declare that, on a date specified in the instrument, this Act shall cease to extend to an external Territory specified in the instrument, and, on and after the date specified in such an instrument, this Act does not extend to the Territory so specified and a reference in this Act, other than this section, to a Territory does not include a reference to the Territory so specified.
The Criminal Code applies to all offences against this Act.
Sourced from the Federal Register of Legislation (legislation.gov.au), CC BY 4.0.
This Act may be cited as the Banking Act 1959.
Except as otherwise provided by this Act, this Act shall come into operation on the day on which the Reserve Bank Act 1959 comes into operation.
(1) The main objects of this Act are: (a) to protect the interests of depositors in ADIs in ways that are consistent with the continued development of a viable, competitive and innovative banking industry; and (b) to promote financial system stability in Australia. (2) This Act, and the prudential standards and non‑ADI lender rules determined by APRA under this Act, achieve this mainly by: (a) restricting who can carry on banking business in Australia; and (b) providing for the prudential supervision of ADIs by APRA, by APRA determining prudential standards or taking other action to ensure prudent management of ADIs; and (c) providing for APRA to manage or respond to circumstances in which the ability of an ADI to meet its obligations may be threatened; and (d) providing for certain account‑holders to be paid amounts where the financial claims scheme has been declared to apply in relation to an ADI; and (f) for the purposes of paragraph (1)(b)—providing rules in relation to the provision of certain kinds of finance by non‑ADI lenders. (3) It is intended that APRA, in taking actions to address risks to financial system stability in Australia, may consider specific sources of systemic risks, whether geographic, sectoral or otherwise. (4) This section does not apply to the following: (a) Divisions 4 (Mobilization of foreign currency) and 5 (Advances) of Part II; (b) Parts III (Foreign exchange, foreign investment etc.), IV (Gold) and V (Interest rates); (c) any other provision of this Act, to the extent that it relates to any of the provisions mentioned in paragraph (a) or (b).
The following Acts are repealed: Banking Act 1945; Banking Act 1953.
Definitions (1) In this Act, unless the contrary intention appears:
account‑holder means an entity (as defined in section 960‑100 of the Income Tax Assessment Act 1997) that holds in its name, or keeps in its name, (either alone or jointly with another entity) an account or covered financial product with an ADI.
action that is likely to have a detrimental effect on financial system stability in New Zealand includes an action that prevents or interferes with an outsourcing arrangement.
ADI is short for authorised deposit‑taking institution.
administrator, of a body corporate’s business, means an administrator appointed under subsection 13A(1) to take control of the body corporate’s business.
advance includes loan.
appointed auditor means an auditor appointed in accordance with the prudential standards.
approved form means a form approved, in writing, by APRA.
APRA means the Australian Prudential Regulation Authority.
APRA member has the same meaning as in the Australian Prudential Regulation Authority Act 1998.
APRA Special Account has the same meaning as in the Australian Prudential Regulation Authority Act 1998.
APRA staff member has the same meaning as in the Australian Prudential Regulation Authority Act 1998.
ASIC means the Australian Securities and Investments Commission.
Australia includes the Territories.
Australian business assets and liabilities, of a foreign ADI, has the meaning given by subsection 11E(3).
authorised deposit‑taking institution means a body corporate in relation to which an authority under subsection 9(3) is in force.
authorised NOHC means a body corporate:
(a) in relation to which an authority under subsection 11AA(2) is in force; and
(b) that is a NOHC of an ADI or ADIs.
Banking Act statutory manager has the meaning given by subsection 13A(2).
banking business means:
(a) a business that consists of banking within the meaning of paragraph 51(xiii) of the Constitution; or
(b) a business that is carried on by a corporation to which paragraph 51(xx) of the Constitution applies and that consists, to any extent, of:
(i) both taking money on deposit (otherwise than as part‑payment for identified goods or services) and making advances of money; or
(ii) other financial activities prescribed by the regulations for the purposes of this definition.
business day means a day that is not a Saturday, a Sunday or a public holiday or bank holiday in the place concerned.
civil penalty provision: a subsection of this Act (or a section of this Act that is not divided into subsections) is a civil penalty provision if:
(a) the words “civil penalty” and one or more amounts in penalty units are set out at the foot of the subsection (or section); or
(b) another provision of this Act specifies that the subsection (or section) is a civil penalty provision.
Note: Schedule 2 deals with contraventions of civil penalty provisions, and treats people who are involved in various ways in such a contravention as if they had contravened the provision concerned.
covered bond has the meaning given by subsection 26(1).
covered bond liabilities has the meaning given by subsections 26(4) and (5).
covered bond special purpose vehicle has the meaning given by subsection 26(1).
covered financial product has the meaning given by subsection (8).
cover pool has the meaning given by subsection 26(3).
declaration time for an ADI means the time the ADI becomes a declared ADI.
declared ADI means an ADI specified in a declaration under section 16AD as an ADI in relation to which Subdivision C of Division 2AA of Part II applies.
direction under this Act means a direction under any of the following provisions:
(a) section 11CA;
(b) section 11CC;
(c) section 13E;
(d) section 17;
(e) section 23;
(f) section 29;
(g) section 31F.
external administrator means any of the following:
(a) a liquidator;
(b) a receiver, manager, managing controller, receiver and manager or other controller (other than a Banking Act statutory manager);
(c) a voluntary administrator or administrator of a deed of a company arrangement or a scheme manager.
Expressions used in this definition have the same meanings as they have in the Corporations Act 2001.
Finance Minister means the Minister who administers the Public Governance, Performance and Accountability Act 2013.
Financial Claims Scheme Special Account has the same meaning as in the Australian Prudential Regulation Authority Act 1998.
financial market has the same meaning as in Chapter 7 of the Corporations Act 2001.
Financial System Stability Special Account means the Financial System Stability Special Account established by section 70E.
foreign ADI means a body corporate that:
(a) is a foreign corporation within the meaning of paragraph 51(xx) of the Constitution; and
(b) is authorised to carry on banking business in a foreign country; and
(c) has been granted an authority under section 9 to carry on banking business in Australia.
holding company, of a body corporate, means another body corporate of which the first body corporate is a subsidiary.
industry support contract means a contract under which emergency financial support is to be provided by parties to the contract to any ADI that is a party to the contract if a specified event occurs. The contract may also deal with matters associated with the provision of the financial support.
insolvent, in relation to a body corporate, means that the body corporate is not able to pay all its debts as and when they become due and payable.
investigator means a person APRA appoints under subsection 13(4), 13A(1) or 61(1).
issuing ADI has the meaning given by subsection 26(6).
lawyer means a duly qualified legal practitioner and, in relation to a person, means such a practitioner acting for the person.
liquidator includes a provisional liquidator.
listing rules has the same meaning as in the Corporations Act 2001.
net credit balance:
(a) the net credit balance, at a time, of an account means the excess of the balance of the account in credit in favour of the account‑holder at that time over the amount (if any) of fees, charges and duties that are identified under the agreement under which the account is kept and are payable by the account‑holder to the ADI at that time; and
(b) the net credit balance, at a time, of a covered financial product that is not an account means the amount owed to the account‑holder at that time under the terms of the agreement under which the covered financial product is kept.
New Zealand registered bank means a registered bank, as defined in section 2 of the Reserve Bank of New Zealand Act 1989 of New Zealand, that carries on a business in New Zealand.
NOHC is short for non‑operating holding company.
NOHC authority means an authority under subsection 11AA(2).
NOHC/NOHC subsidiary has the meaning given by subsection 13D(5).
non‑ADI lender has the meaning given by section 38B.
non‑ADI lender rule means a rule under section 38C.
non‑operating holding company means, in relation to a body corporate, a body corporate:
(a) of which the first body corporate is a subsidiary; and
(b) that does not carry on a business (other than a business consisting of the ownership or control of other bodies corporate); and
(c) that is incorporated in Australia.
outsourcing arrangement means an arrangement for the business of a New Zealand registered bank, or functions relating to such business, to be carried on by an entity other than the bank.
Part IIB provision of finance has the meaning given by section 38B.
personal information has the same meaning as in the Privacy Act 1988.
prescribed New Zealand authority means the following:
(a) the Reserve Bank of New Zealand;
(b) an authority of the government of New Zealand that:
(i) has statutory responsibilities relating to prudential regulation or financial system stability; and
(ii) is prescribed by the regulations for the purposes of this definition.
protected account has the meaning given by subsections (4), (5), (6) and (7).
prudential matters means matters relating to:
(a) the conduct of any part of the affairs of, or the structuring or organising of, an ADI, an authorised NOHC, a relevant group of bodies corporate, or a particular member or members of such a group, in such a way as:
(i) to keep the ADI, NOHC, group or member or members of the group in a sound financial position; or
(ii) to facilitate resolution of the ADI, NOHC, group or member or members of the group; or
(iii) to protect the interests of depositors of any ADI; or
(iv) not to cause or promote instability in the Australian financial system; or
(v) not to cause or promote instability in the New Zealand financial system; or
(b) the conduct of any part of the affairs of an ADI, an authorised NOHC, a relevant group of bodies corporate, or a particular member or members of such a group, with integrity, prudence and professional skill.
prudential requirement regulation means a regulation under section 11A.
prudential standard means a standard under section 11AF.
recapitalisation direction means a direction given by APRA under subsection 13E(1) or (1B).
related body corporate, in relation to a body corporate, means a body corporate that is related to the first‑mentioned body, as determined in accordance with subsection 5(2A).
relevant group of bodies corporate has the meaning given by subsection 5(3).
resolution means the process by which APRA or other relevant persons manage or respond to an entity:
(a) being unable to meet its obligations; or
(b) being considered likely to be unable, or being considered likely to become unable, to meet its obligations; or
(c) suspending payment, or being considered likely to suspend payment;
including through the exercise of powers and functions under this Act or another law.
section 9 authority means an authority under subsection 9(3).
senior manager of an ADI or an authorised NOHC or the Australian operations of a foreign ADI means a person who has or exercises any of the senior management responsibilities (within the meaning of the prudential standards) for the ADI or NOHC or for the Australian operations of the foreign ADI, as the case may be.
subsidiary has the meaning given by subsection (2).
the Reserve Bank means the Reserve Bank of Australia.
transferred liabilities determination means a determination under subsection 16AIA(1).
ultimate termination of control has the meaning given by subsection 13C(1).
Subsidiary (2) For the purposes of this Act, the question whether a body corporate is a subsidiary of another body corporate is to be determined in the same way as that question is determined for the purposes of the Corporations Act 2001. Related bodies corporate (2A) For the purposes of this Act, the question whether a body corporate is related to another body corporate is to be determined in the same way as that question is determined for the purposes of the Corporations Act 2001. Relevant group of bodies corporate (3) For the purposes of this Act: (a) an ADI and its subsidiaries together constitute a relevant group of bodies corporate; and (b) an authorised NOHC and its subsidiaries together also constitute a relevant group of bodies corporate. Protected account (4) Subject to subsections (5), (6) and (7), a protected account is an account or covered financial product that is kept by an account‑holder (whether alone or jointly with one or more other account‑holders) with an ADI and either: (a) is an account that is prescribed by the regulations for the purposes of this paragraph; or (b) is an account, or covered financial product, that is kept under an agreement between the account‑holder and the ADI requiring the ADI to pay the account‑holder, on demand by the account‑holder or at a time agreed by them, the net credit balance of the account or covered financial product at the time of the demand or the agreed time (as appropriate).
Note: Paragraph (a)—the regulations may prescribe the account by reference to a class of accounts: see subsection 13(3) of the Legislation Act 2003.
(5) An account is not a protected account on and after 12 October 2011 unless: (a) it is recorded in Australian currency; or (b) it is kept with an ADI that is a declared ADI on 12 October 2011. (6) A covered financial product that is kept with an ADI and is not an account is not a protected account if APRA applies under section 16AAA for an order that the ADI be wound up. (7) An account or covered financial product is not a protected account if the account or covered financial product is prescribed by the regulations for the purposes of this subsection.
Note: The regulations may prescribe the account or covered financial product by reference to a class of accounts or financial products: see subsection 13(3) of the Legislation Act 2003.
Covered financial product (8) The Minister may declare that a specified financial product is a covered financial product.
Note: The declaration may specify the product by reference to a class of financial products: see subsection 13(3) of the Legislation Act 2003.
(9) A declaration made under subsection (8), or an amendment of the declaration, is a legislative instrument, but section 42 (disallowance) of the Legislation Act 2003 does not apply to the declaration or amendment.
Note: Part 4 of Chapter 3 (sunsetting) of the Legislation Act 2003 does not apply to the declaration or amendment: see re
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