Federal MPs have given the Australian Prudential Regulation Authority (APRA) the nod of approval following its first parliamentary review since 2004.

The House of Representatives Standing Committee on Economics says APRA-regulated industries are “broadly in good health and… the Australian financial sector has emerged relatively unscathed from the [global] financial crisis”.

The report comes after APRA Chairman Wayne Byres faced the committee in July.

The regulator oversees insurers and reinsurers, banks, credit unions, building societies, friendly societies and most of the super industry. From July 1 next year it will also assume responsibility for the prudential regulation of private health insurance.

Regulated institutions hold $4.5 trillion in assets on behalf of depositors, policyholders and fund members.

Insurance receives scant attention in the committee’s report, but it notes Mr Byres’ view that “the most important [industry] reform has been the comprehensive review of capital requirements for both life and general insurance”.

The committee, chaired by Liberal MP Kelly O’Dwyer, has decided APRA should appear at public hearings twice a year. The next one will be in Canberra on November 28.