Australia: Implemented APRA Prudential Standard on Operational Risk Management

On 1 July 2025, the new prudential standard with the purpose of enhancing operational risk management for banks, insurers and superannuation trustees, published by the Australian Prudential Regulation Authority (APRA), came into effect. The standard aims to equip these entities to better handle operational risks and effectively respond to business disruptions. It introduces new requirements to address identified weaknesses in existing controls, improve business continuity planning to ensure readiness for severe disruptions, and enhance third-party risk management by ensuring appropriate management of risks from significant service providers.