RITS assessment finds key areas 'partly observed'
The Reserve Bank of Australia today released its 2026 Assessment of the Reserve Bank Information and Transfer System (RITS), concluding that RITS partly observed key principles for financial market infrastructures.
Governance downgrade highlights acceleration need
The Reserve Bank of Australia's 2026 Assessment of the Reserve Bank Information and Transfer System (RITS) against the Principles for Financial Market Infrastructures (PFMI) concluded that RITS observed all relevant PFMI as at 31 March 2026, with three specific exceptions.
Governance, Framework for the comprehensive management of risk, and Operational risk were all assessed as 'partly observed'.
The RBA had made progress in strengthening these areas, but the work program for RITS progressed more slowly than anticipated since the 2024 Assessment.
This delay occurred within an external risk environment that has become more challenging.
As a result, the rating for Governance was downgraded to 'partly observed'.
This downgrade reflects a critical need to accelerate the implementation of RITS-specific governance enhancements, rather than a deterioration in governance relative to the previous Assessment.
The ratings for Framework for the comprehensive management of risk and Operational risk remained 'partly observed', highlighting persistent areas for high-priority attention.
Critical national infrastructure under review
The Reserve Bank of Australia owns and operates RITS, Australia's real-time gross settlement system.
As critical national infrastructure for the Australian payment system, RITS must maintain a high degree of availability and resilience.
The Payments System Board (PSB) oversees RITS, assessing the RBA's observance of the Principles for Financial Market Infrastructures (PFMI).
This detailed assessment is conducted every two years, in line with international guidance.
The RBA's Governance Board holds responsibility for the overall management and organisational affairs, including RITS, following amendments to the Reserve Bank Act 1959.
The PSB expects key improvements to be delivered and embedded ahead of the March 2028 detailed Assessment, and will monitor progress through regular updates.
Urgent call for accelerated reform
This assessment reveals critical areas where RITS, despite its foundational role, falls short of full observance.
The governance downgrade underscores a pressing need for the RBA to expedite its internal enhancement programs.
Swift action is paramount to ensure the continued resilience of Australia's core payment infrastructure.