Supervision has a crucial role to play in complementing the regulatory regime, and will continue to intensify. Regulated  Ref #8022722 v2.0  14  entities can expect us to verify that self, market and regulatory discipline are operating as intended, and to take enforcement action in cases of non-compliance.
The government’s ‘in principle’ decisions to modernise the Reserve Bank and our financial stability framework give us a clearer objective, a simpler perimeter and strengthen resolution options. The new governance framework, with a board responsible for our regulatory and supervisory approaches, will make us more transparent and accountable in how we deliver on our financial stability objective.