Financial Crime World

Council of Financial Regulators (CFR): Strengthening Financial Stability in Australia

The Council of Financial Regulators (CFR) is a collaborative effort by four major banking regulatory bodies in Australia to promote stability and effective regulation in the country’s financial system. The council consists of:

  • Australian Prudential Regulation Authority (APRA)
  • Australian Securities and Investments Commission (ASIC)
  • Reserve Bank of Australia (RBA)
  • Treasury

Mission and Objectives

The CFR aims to foster a competitive, efficient, and fair financial system by facilitating cooperation and collaboration among its member agencies. To achieve this, the council:

  • Identifies important issues and trends in the financial system that may impact overall stability
  • Exchanges information and views on financial regulation
  • Harmonizes regulatory and reporting requirements
  • Ensures coordination among agencies in planning for and responding to instances of financial instability

Coordination with International Institutions

The CFR coordinates engagement with international institutions, forums, and regulators to ensure consistency in financial system stability. This includes:

  • Identifying key issues and trends in the financial system that may impinge upon overall stability
  • Exchanging information and views on financial regulation
  • Harmonizing regulatory and reporting requirements

Memoranda of Understanding (MoUs) and Bilateral Coordination Arrangements

A range of MoUs and bilateral coordination arrangements exist between the CFR members, including:

  • RBA signing MoUs on financial distress management with APRA and ASIC
  • Agreements promoting greater cooperation and understanding among agencies

These agreements ultimately benefit the Australian financial system by promoting greater cooperation and stability.