Regulation Impact Statement Updates
Official website for publishing regulatory impact analysis information for regulatory decisions announced by the Australian Government, COAG and COAG Councils.
Remaking of sunsetting instrument without significant amendments
Australian Securities and Investments Commission
On 22 September 2016, The Australian Securities and Investments Commission (ASIC) extended seven Class Orders for Foreign Financial Services Providers (FFSPs), collectively known as the FFSP Instruments, without significant amendments for a period of 24 months to allow sufficient time for ASIC to consider all relevant findings from external reviews and inquiries on the settings of the relief provided by these Class Orders.
Class Order 03/1099, Class Order 03/1100, Class Order 03/1101, Class Order 03/1102, Class Order 03/1103, Class Order 04/829 and Class Order 04/1313 collectively exempt certain FFSPs from the requirement to hold an Australian financial licence when providing financial services to Australian wholesale clients. It is to address the duplicated regulatory burden arising from compliance with Australia’s regulatory regime where FFSPs are already subject to equivalent regulatory regimes in their home jurisdictions.
Consistent with the Australian Government’s best practice regulation requirements for sunsetting instruments, ASIC has assessed the operation of the Class Orders in consultation with affected stakeholders and has certified that they are operating effectively and efficiently.
Therefore, under the Government’s best practice requirements, a Regulation Impact Statement (RIS) is not required for temporarily remaking these seven Class Orders. ASIC has assessed the amendments result in no change in regulatory burden.