APRA has suspended the majority of its planned policy and supervision initiatives and priorities in response to COVID-19. This response is intended to support APRA-regulated entities to maintain their operations.
APRA has also suspended public consultations on revisions to the prudential framework until 30 September 2020 (presumably this will include CPS 511 Remuneration). It is unclear yet how this will affect the timeline for FAR implementation (if at all).
APRA requires ADIs to advise of the reporting treatment for COVID-19 loans and publicly disclose the nature and terms of any repayment deferrals and the volume of COVID-19 loans. Banks have offered COVID-19 loans to affected small business and home loan customers which provides them with an option to defer their repayment for up to six months.
APRA noted that COVID-19 loans will not be regarded as restructured and the repayment deferral period will not be treated as a period of arrears. APRA confirmed that the Coronavirus SME Guarantee Scheme (see below) will be an eligible guarantee by the government for risk-weighting purposes.

COFR noted it is holding regular meetings to ensure coordinated regulatory response to COVID-19 to support credit flow e.g. noting that RBA has announced measures to provide liquidity to financial markets; APRA has announced temporary changes to its expectations on bank capital ratios;ASIC has introduced measures to ensure equity market participants' manage transaction volumes; and APRA and ASIC have reprioritised their regulatory work to minimise the regulatory burden upon institutions.

ASIC will focus its regulatory efforts on challenges crated by the COVID-19 pandemic. Until at least 30 September 2020, the other matters that ASIC will afford priority are where there is the risk of significant consumer harm, serious breaches of the law, risks to market integrity and time-critical matters.
ASIC has suspended near-term activities which are not time-critical (such as consultation, regulatory reports and reviews).
ASIC will work with financial institutions to further accelerate the payment of outstanding remediation to customers. It will also maintain its enforcement activities and continue to investigate and take action where the public interest warrants it to do so.
ASIC will also take account of the circumstances in which lenders, acting reasonably, are currently operating when administering the law.

The Government will establish the Coronavirus SME Guarantee Scheme. Under the Scheme, the Government will guarantee 50 per cent of new loans by eligible lenders to SMEs. This will result in the Government guaranteeing up to $20 billion to support $40 billion in SME loans.

COVID-19 Financial regulation update | Ashurst