Explanatory Memorandum
(Circulated by authority of the Treasurer, the Hon Scott Morrison MP)Statement of Compatibility with Human Rights
Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011
Promoting financial stability
1.53 These Schedules are compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.
Overview
1.54 Schedules 1 and 2 to the Bill amend the Banking Act to provide the APRA with the ability to issue rules and directions to lenders that are non-ADI lenders where those institutions provide finance (as defined in Part IIB of the Banking Act) and that activity or those activities materially contributes to risks of instability in the Australian financial system.
1.55 The rules and directions do not impact on individuals but corporations.
Human rights implications
1.56 These Schedules does not engage any of the applicable rights or freedoms.
Conclusion
1.57 These Schedules are compatible with human rights as it does not raise any human rights issues.