The Australian Regulation Regulation (APRA) has found that Westpac Banking Corporation completed a multi -year risk transformation program required by APRA. Consequently, APRA will remove the remaining $ 500 million capital additives applied to WestPac.
Following APRA investigation in 2020, Westpac entered a judicial imposition of the business (CEU) with APRA in December 2020, where it pledged to restore specific precautionary weaknesses identified by APRA in culture, governance and accountability and dealing with these issues. In response, Westpac created the program of customer results and risk (CORE) and appointed an independent critic.
Prior to that, APRA had prevented an additional capital of $ 500 million on Westpac in July 2019 and an additional $ 500 million in December 2019.
As APRA proceeded with the supervision program, a first percentage of $ 500 million was abolished in July 2024 in recognition of WestPac’s progress in addressing these issues. APRA said the rest would remain in place until Westpac completed its transitional work and APRA has undertaken further ratification tasks to evaluate the viability of improvements made in rational risk management practices and results.
Satisfied that this program has been completed and the specific theatrical issues identified by APRA have been addressed, APRA has removed the rest of $ 500 million, with immediate effect.
Member of Apra Therese McCarthy Hockey said:
“As a systematically important bank, APRA expects WestPac to be maintained in the required model of risk management and practices.