Australian financial sector gets pandemic planning guidance

The Australian Prudential Regulation Authority (APRA) has released an information paper and prudential practice guide (PPG) to assist APRA-regulated institutions with their business continuity planning for a potential pandemic.

The advice is being released following consultation with industry and research into pandemic planning that is taking place around the world.

While APRA's existing prudential standards cover business continuity planning requirements in the event of a major event or crisis, APRA's pandemic advice is designed to bring into focus specific planning for a pandemic scenario.

APRA Chairman John Laker said APRA believes that many financial institutions are already taking seriously the risk of a pandemic by updating their business continuity plans and reviewing financial exposures, although there remains work to do to ensure the Australian financial sector is as prepared as is practically possible.

The new documents do not impose any mandatory requirements on institutions but are intended to highlight and support the need to consider this emerging risk.

APRA assesses pandemic continuity planning as part of its routine operational risk reviews. APRA is also currently conducting a survey of pandemic exposures across the life and general insurance industries to gauge the potential impact of a pandemic on these industries.
The pandemic information paper and PPG are located on the APRA website at: www.apra.gov.au

The PPG can be downloaded here (PDF)

•Date: 11th October 2006• Region: Australia •Type: Article •Topic: Pandemic planning
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