The Australian Prudential Regulation Authority’s (APRA) new corporate plan highlights fintech and cyber crime as key challenges.

It says the benefits of the former and risks of the latter make technology a top priority for financial institutions and regulators.

“APRA is examining the challenges and opportunities of fintech, and is reviewing its licensing processes to examine how the benefits can be harnessed without unduly adding risks to the financial system,” it says.

“APRA will also be continuing to review how cyber-security risks are being addressed by regulated entities, in addition to enhancing its own processes for effectively mitigating these risks.”

The corporate plan outlines the regulator’s core functions and strategies until 2021.

In the next four years APRA aims to enhance leadership, culture and opportunities for its staff, hone governance and workplace effectiveness, sharpen risk-based supervision and build recovery and resolution capability.

Key areas of focus in Australia also include “profitability challenges that continue in the life insurance industry”.

To view the plan, click here.