Australian covered bonds draft legislation caps issuance at 8 per cent of assets
- Thursday, 24 March 2011
The draft of the legislation that will introduce a domestic covered bond regime to Australia caps individual banks' issuance at 8 per cent of an institution's Australian assets. The bill, which was published on March 24, also includes language specifically referring to the creation of debt instruments secured by covered bonds issued by multiple banks – a route to aggregate covered bond issuance by smaller issuers.
