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Australian banks must have a plan to deal with negative interest rates by 2022 - APRA


Paulina Duran
3 minute read
SYDNEY, July 12 (Reuters) - Australia s prudential regulator told banks on Monday they must have a plan to deal with the possibility of zero or negative interest rates by April 2022, after a consultation showed such rates could pose operational challenges in some instances.
While the Reserve Bank of Australia has repeatedly said that a negative cash rate in the country is highly unlikely, the Australian Prudential Regulation Authority (APRA) said it is possible that other interest rates determined in the financial markets could fall to zero or below zero at any time.
APRA is thus asking banks to take reasonable steps to prepare for such a scenario and to at a minimum, develop tactical solutions to implement zero and negative market interest rates and cash rate by 30 April 2022. ....

New South Wales , Paulina Duran , Thomson Reuters Trust Principles , While The Reserve Bank , Australian Prudential Regulation Authority , Reserve Bank , Therese Mccarthy Hockey , Carthy Hockey , Ana Nicolaci , Thomson Reuters Trust , புதியது தெற்கு வேல்ஸ் , பலீந துரான் , தாம்சன் ராய்ட்டர்ஸ் நம்பிக்கை ப்ரிந்ஸிபல்ஸ் , போது தி இருப்பு வங்கி , ஆஸ்திரேலிய விவேகமான ஒழுங்குமுறை அதிகாரம் , இருப்பு வங்கி , தெரேஸ் ம்க்கார்தீ ஹாக்கி , தாம்சன் ராய்ட்டர்ஸ் நம்பிக்கை ,