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Big Australian banks to be required to hold more Tier 1 capital by 2020 -regulator

Published 19/07/2017, 07:54 am
© Reuters.  Big Australian banks to be required to hold more Tier 1 capital by 2020 -regulator
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SYDNEY, July 19 (Reuters) - Australia's four biggest banks will be required to have Tier 1 capital ratios of 10.5 percent by 2020, the country's prudential regulator said on Wednesday.

The Australian Prudential (LON:PRU) Regulation Authority said in a statement that the increase in capital, which is about 100 basis points above December 2016 levels, would allow the banks to meet a benchmark of being "unquestionably strong".

Australia's four biggest banks include Commonwealth Bank of Australia CBA.AX , Westpac Banking Corp WBC.AX , Australia and New Zealand Banking Group ANZ.AX and National Australia Bank NAB.AX .

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