Banking (prudential standard) determination No. 3 of 2007 - Prudential Standard APS 110 - Capital Adequacy
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Application
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This Prudential Standard applies to all authorised deposit-taking institutions (ADIs) under the Banking Act, subject to paragraphs 3 and 11.
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Except as provided by this paragraph, a foreign ADI, within the meaning of subsection 5(1) of the Banking Act, is not subject to this Prudential Standard. It must, however, be subject to comparable capital adequacy standards in its home country.
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A reference to an ADI in this Prudential Standard shall be taken as a reference to:
(a) an ADI on a Level 1 basis; and
(b) a group of which an ADI is a member on a Level 2 basis.
Where an ADI to which this Prudential Standard applies is a subsidiary of an authorised non-operating holding company (authorised NOHC), the authorised NOHC must ensure that the requirements in this Prudential Standard are met on a Level 2 basis, subject to paragraph 11.
- APRA may, in writing, approve an Extended Licensed Entity (ELE) in relation to an ADI. The ELE will comprise the ADI and each subsidiary of the ADI specified in the approval on a consolidated basis (refer to paragraph 10(a)(ii) and Attachment A).