The Australian Prudential Regulation Authority will receive $58.7 million in new funding over the next four years, and Chairman Wayne Byres has been reappointed to run the regulator for another five years.

It will use the extra funding to enhance supervision, identify and address emerging risks, improve data collection capabilities and review its enforcement strategy.

Treasurer Josh Frydenberg says retaining Mr Byres is “important for stability during this time of significant reform” in the financial system.