The Australian Prudential Regulation Authority has released its final response to consultation on minor proposals relating to section 66 of the Banking Act 1959, finalising an outstanding issue left open from its June 2025 consultation. The key change updates a class exemption that lets foreign entities use restricted banking-related terms when issuing debt securities in wholesale capital markets. The revised exemption now covers a broader set of foreign entities that commonly seek APRA consent, reducing the need for case-by-case approvals. Section 66 restricts the use of certain words and expressions in the context of a financial business, including the word "bank" and terms of like import, unless APRA gives written consent to a person or class of persons. APRA said other aspects of the exemption remain unchanged. The package includes a response letter and final legislative instrument.
Australian Prudential Regulation Authority2026-07-23
Australian Prudential Regulation Authority broadens section 66 class exemption for foreign debt issuers in wholesale capital markets
The Australian Prudential Regulation Authority has finalised an update to its section 66 exemption for foreign entities issuing debt securities in wholesale capital markets. The change broadens the class exemption to cover more foreign issuers that commonly seek consent to use restricted banking-related terms. Other elements of the exemption are unchanged.