Apra tier two push leaves Australia banks to count the cost

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Apra tier two push leaves Australia banks to count the cost

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T4EAT2 Australian fifty dollar banknote. The new 2019 issue bill is designed to deter counterfeiting, the note is polymer with a clear holographic strip. | Alamy Stock Photo

Australia’s bank capital regulator has refused to back down from requiring the country’s largest banks to meet new loss-absorbing debt targets with tier two bonds, raising the prospect of a wave of supply over the next four years. The question now is: how much will it cost them? Tyler Davies reports.

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