ApplicationApplication

Application

This Prudential Standard applies to authorised deposit-taking institutions (ADIs) that are seeking or have been given approval to use an internal model approach for interest rate risk in the banking book (IRRBB) for the purpose of determining Regulatory Capital.
A reference to an ADI in this Prudential Standard shall be taken as a reference to:

    an ADI on a Level 1 basis; and
    a group of which an ADI is a member on a Level 2 basis.

3. If an ADI to which the Prudential Standard applies is: 1. the holding company for a group, the ADI must ensure that the requirements in this Prudential Standard are met on a Level 2 basis, where applicable; or 2. 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, where applicable.