Westpac Pillar 3 Report (June 2023)

ASX
Release


21 August 2023

Pillar 3 Report as at 30 June 2023

Westpac Banking Corporation (“Westpac”) today provides the attached Pillar 3 Report
(June 2023).









For further information:

Hayden Cooper Justin McCarthy
Group Head of Media Relations General Manager, Investor Relations
0402 393 619 0422 800 321


This document has been authorised for release by Tim Hartin, Company Secretary.



Level 18, 275 Kent Street
Sydney, NSW, 2000

JUNE 2023
INCORPORATING THE REQUIREMENTS OF APS330
WESTPAC BANKING CORPORATION
ABN 33 007 457 141
Pillar 3
Report

Pillar 3 report
Table of contents

2 | Westpac Group June 2023 Pillar 3 report
Structure of Pillar 3 report

Executive summary
3
Introduction
5
Group structure
6
Capital overview
8
Leverage ratio
12
Credit risk exposures
13
Securitisation
17
Liquidity coverage ratio
20
Appendices
Appendix I – APRA revised capital framework
21
Appendix II – APS 330 quantitative requirements
23
Disclosure regarding forward-looking statements
24


In this report references to ‘Westpac’, ‘Westpac Group’, ‘the Group’, ‘we’, ‘us’ and ‘our’ are to Westpac Banking
Corporation and its controlled entities (unless the context indicates otherwise).
In this report, unless otherwise stated or the context otherwise requires, references to ‘$’, ‘AUD’ or ‘A$’ are to
Australian dollars.
Any discrepancies between totals and sums of components in tables contained in this report are due to rounding.
In this report, unless otherwise stated, disclosures reflect the Australian Prudential Regulation Authority’s (APRA)
capital framework and implementation of Basel III.
Information contained in or accessible through the websites mentioned in this report does not form part of this report
unless we specifically state that it is incorporated by reference and forms part of this report. All references in this
report to websites are inactive textual references and are for information only.

Pillar 3 report
Executive Summary

Westpac Group June 2023 Pillar 3 report | 3

Key capital ratios


APRA’s revised capital framework (Basel III) became effective on 1 January 2023 and included updated prudential
standards for capital adequacy and credit risk capital. The revisions included amendments to capital requirements,
revisions to the calculation of credit Risk Weighted Asset (RWA), introduction of a capital floor and introduction of a
minimum leverage ratio. A summary of the changes can be found in Appendix I. These revisions are reflected in the
disclosed capital ratios at 30 June 2023 and 31 March 2023. Prior periods have not been restated with capital
reported under APRA’s, then applicable, capital framework.
Third Quarter 2023 – First Half 2023
Westpac’s Level 2 common equity Tier 1 (CET1) capital ratio was 11.86% at 30 June 2023, 42 basis points lower
than 31 March 2023. The CET1 capital ratio was lower than 31 March 2023 due to payment of the 2023 interim
dividend, an increase in total RWA and higher capital deductions mostly from capitalised software and other
expenditure. These impacts were partially offset by the contribution of earnings over the quarter.
Third Quarter 2023 – Third Quarter 2022
Westpac’s Level 2 CET1 capital ratio at 30 June 2023 was 111 basis points higher than 30 June 2022 due to
earnings, less payment of dividends, divestment benefits and a reduction in total RWA. Total RWA reduced from 30
June 2022 by $18.0 billion or 3.8%. Credit RWA reduced by $19.5 billion, mostly from the implementation of APRA’s
revised capital framework which reduced credit RWA by $23.7 billion and resulted in a 62 basis points addition to
the CET1 ratio.

Risk Weighted Assets
$m30 June 2023 31 March 2023 30 June 2022
Risk weighted assets at Level 2
Credit risk342,766340,558362,279
Market risk14,56115,1689,837
Operational risk55,36256,90057,875
Interest rate risk in the banking book42,63534,74843,498
Other 4,6925,5724,540
Total RWA460,016452,946478,029
Total Exposure at Default1,191,7041,187,9041,212,775

Total RWA increased by 1.6% since 31 March 2023 to $460.0 billion from both credit and non-credit RWA
increases.
Credit RWA increased by $2.2 billion. Key movements included:
 A $1.9 billion increase from higher lending across Corporate, Business Lending, Property Finance and
Residential Mortgages;
 A $1.2 billion increase from deteriorating credit quality from higher early cycle delinquencies in Residential
Mortgages offset by improved credit quality in Corporate;
 A $0.7 billion decrease from foreign currency translation impacts, predominantly the appreciation of the A$
against the NZ$; and
 A $0.2 billion decrease from counterparty credit risk primarily due to a decrease in the mark-to-market value of
derivatives from changes in underlying foreign currency exchange rates.
Non-credit RWA were $4.9 billion higher. Key movements included:
 A $7.9 billion increase in interest rate risk in the banking book (IRRBB) RWA from:
 $5.4 billion due to a higher embedded loss from higher interest rates; and
%30 June 202331 March 2023
30 June 2022
Level 2 Regulatory capital structure
Common equity Tier 1 capital ratio 11.86 12.28 10.75
Additional Tier 1 capital ratio 2.16 2.20 2.02
Tier 1 capital ratio 14.02 14.48 12.77
Tier 2 capital ratio5.69 5.27 4.40
Total regulatory capital ratio 19.71 19.75 17.17
APRA leverage ratio 5.36 5.46 5.35
Level 1 Common equity Tier 1 capital ratio 12.01 12.50 10.59

Pillar 3 report
Executive summary

4 | Westpac Group June 2023 Pillar 3 report
 Ongoing model changes ($2.5 billion) which still require regulatory approval
1
.
1

 Operational RWA: $1.5 billion decrease due to lower capital requirements; and
 Market RWA: $0.6 billion decrease due to lower Risks Not In Value at Risk (RNIV), offset by an increase from
portfolio movements.
Exposure at Default (EAD)
EAD increased $3.8 billion over the quarter. Key movements include:
 A $8.6bn billion increase from higher lending mainly across Residential Mortgages, Corporate, Business
Lending, Property Finance and Securitisation asset classes;
 A $2.4 billion decrease in Sovereign exposures, as part of liquidity management; and
 A $2.3 billion decrease in New Zealand exposures, mainly within sovereign exposures.
Tier 2 capital movements for third quarter 2023
Over the quarter, the Group issued A$2.9 billion of Tier 2 capital instruments and redeemed A$0.9 billion of Tier 2
instruments. The net impact of these transactions was an increase in total capital of approximately 43bps.
On 2 December 2021, APRA announced a requirement for domestic systemically important banks (D-SIBs) including
Westpac, to increase total capital requirements by 4.5 percentage points of RWA to meet additional loss absorbing
capacity. This includes an interim total capital requirement of 16.75% from 1 January 2024 and a final total capital
requirement from 1 January 2026 of 18.25%. The increase in total capital is expected to be met through additional
Tier 2 capital.
Leverage Ratio
2

The leverage ratio represents the amount of Tier 1 capital relative to an exposure measure
2
. At 30 June 2023,
Westpac’s leverage ratio was 5.36%, down 10 basis points from 31 March 2023. This was mostly driven by lower
Tier 1 capital following payment of the 2023 interim dividend.
Liquidity Coverage Ratio (LCR)
Westpac’s average LCR for the quarter ending 30 June 2023 was 138% (31 March 2023: 135%). The increase in
the ratio was mainly driven by an increase in average holdings of liquid assets partially offset by an increase in net
cash outflows.

1
APRA has approved Westpac's IRRBB Embedded Gain/Loss (EGL) model, however Westpac has applied an overlay pending
recalibration of the model.
2

As defined under Attachment D of APS110: Capital Adequacy.

Pillar 3 report
Introduction


5 | Westpac Group June 2023 Pillar 3 report

Westpac Banking Corporation is an Authorised Deposit-taking Institution (ADI) subject to regulation by APRA. APRA
has accredited Westpac to apply advanced models permitted by the Basel III global capital adequacy regime to the
measurement of its regulatory capital requirements. Westpac uses the Internal Ratings-Based approach (IRB) for
credit risk and the Standardised Measurement Approach (SMA) for operational risk.
In accordance with APS330 Public Disclosure, financial institutions that have received the Advanced IRB (AIRB)
accreditation, such as Westpac, are required to disclose prudential information about their risk management
practices on a semi-annual basis. A subset of this information must be disclosed quarterly.
In addition to this report, the regulatory disclosures section of the Westpac website
1
contains the reporting
requirements for:
 Capital instruments under Attachment B of APS330; and
 The identification of potential Global-Systemically Important Banks (G-SIB) under Attachment H of APS330
(disclosed annually).
Capital instruments disclosures are updated when:
 A new capital instrument is issued that will form part of regulatory capital; or
 A capital instrument is redeemed, converted into CET1 capital, written off, or its terms and conditions are
changed.
1


1
http://www.westpac.com.au/about-westpac/investor-centre/financial-information/regulatory-disclosures/

Pillar 3 report
Group structure


6 | Westpac Group June 2023 Pillar 3 report

APRA applies a tiered approach to measuring Westpac’s capital adequacy
1
by assessing financial strength at three
levels:
 Level 1, comprising Westpac Banking Corporation and its subsidiary entities that have been approved by APRA
as being part of a single ‘Extended Licensed Entity’ (ELE) for the purposes of measuring capital adequacy;
 Level 2, the consolidation of Westpac Banking Corporation and all its subsidiary entities except those entities
specifically excluded by APRA regulations. The head of the Level 2 group is Westpac Banking Corporation; and
 Level 3, the consolidation of Westpac Banking Corporation and all its subsidiary entities.
Unless otherwise specified, all quantitative disclosures in this report refer to the prudential assessment of Westpac’s
financial strength on a Level 2 basis
2
.
The Westpac Group

1

2

The following diagram shows the Level 3 conglomerate group and illustrates the different tiers of regulatory
consolidation.

Accounting consolidation
33

The consolidated financial statements incorporate the assets and liabilities of all subsidiaries (including structured
entities) controlled by Westpac. Westpac and its subsidiaries are referred to collectively as the ‘Group’. The effects
of all transactions between entities in the Group are eliminated on consolidation. Control exists when the parent
entity is exposed to, or has rights to, variable returns from its involvement with an entity, and has the ability to affect
those returns through its power over that entity. Subsidiaries are fully consolidated from the date on which control
commences and they are no longer consolidated from the date that control ceases.
Group entities excluded from the regulatory consolidation at Level 2
Regulatory consolidation at Level 2 covers the global operations of Westpac and its subsidiary entities, including
other controlled banking, securities and financial entities, except for those entities involved in the following business
activities:
 insurance;
 acting as manager, responsible entity, approved trustee, trustee or similar role in relation to funds management;
 non-financial (commercial) operations; or
 special purpose entities to which assets have been transferred in accordance with the requirements of APS120
Securitisation.
Retained earnings and equity investments in subsidiary entities excluded from the consolidation at Level 2 are
deducted from capital, with the exception of securitisation special purpose entities.


1
APS110 Capital Adequacy outlines the overall framework adopted by APRA for the purpose of assessing the capital adequacy of an
ADI.
2
Impaired assets and provisions held in Level 3 entities are excluded from the tables in this report.
3
Refer to Note 30 of Westpac’s 2022 Annual Report for further details.
Level 1 Consolidation
Level 2 Consolidation
Level 3 Consolidation
Regulatory
non-consolidated
subsidiaries
Westpac
New Zealand Ltd
Other Westpac Level 2
subsidiaries
Westpac Banking
Corporation
Westpac Level 1
subsidiaries

Pillar 3 report
Group structure

Westpac Group June 2023 Pillar 3 report | 7

Subsidiary banking entities
Westpac New Zealand Limited (WNZL), a wholly owned subsidiary entity, is a registered bank incorporated in New
Zealand and regulated by the Reserve Bank of New Zealand (RBNZ). WNZL uses both the Advanced IRB and
Standardised methodologies for credit risk and the standardised measurement approach (SMA) for operational risk.
Other subsidiary banking entities in the Group include Westpac Bank PNG Limited and Westpac Europe Limited.
For the purposes of determining Westpac’s capital adequacy subsidiary banking entities are consolidated at Level
2.
Restrictions and major impediments on the transfer of funds or regulatory capital within the Group
Certain subsidiary banking and trustee entities are subject to local prudential regulation in their own right, including
capital adequacy requirements and investment or intra-group exposure limits. Westpac seeks to ensure that its
subsidiary entities are adequately capitalised and adhere to regulatory requirements at all times. Dividends and
capital are repatriated in line with the Group’s policy subject to subsidiary Board approval and local regulations.
Minimum capital (‘thin capitalisation’) rules
Tax legislation in most jurisdictions in which the Group operates prescribes minimum levels of capital that must be
retained in that jurisdiction to avoid a portion of the interest costs incurred in the jurisdiction ceasing to be tax
deductible. Capital for these purposes includes both contributed capital and non-distributed retained earnings.
Westpac seeks to maintain sufficient capital/retained earnings in these entities to comply with these rules.
Tax costs associated with repatriation
Repatriation of retained earnings (and capital) may result in tax being payable in either the jurisdiction from which
the repatriation occurs or Australia on receipt of the relevant amounts. This cost would reduce the amount actually
repatriated.
Intra-group exposure limits
1
Exposures to related entities are managed within the prudential limits prescribed by APRA in APS222 Associations
with Related Entities
1
. Westpac has an internal limit structure and approval process governing credit exposures to
related entities. This limit structure and approval process, combined with APRA’s prudential limits, is designed to
reduce the potential for unacceptable contagion risk.
Prudential regulation of subsidiary entities
On 23 March 2021, the RBNZ issued two notices to WNZL under section 95 of the Banking (Prudential Supervision)
Act 1989 requiring WNZL to supply two external reviews to the RBNZ (the ‘Risk Governance Review’ and the
‘Liquidity Review’). These reviews only applied to WNZL and not to Westpac in Australia or its NZ Branch.
The Risk Governance Review related to the effectiveness of WNZL’s risk governance. This review was completed,
in November 2021 and identified deficiencies in WNZL’s risk governance practices and operations which WNZL
sought to address through a programme of work overseen by the WNZL Board. In April 2023, the RBNZ
acknowledged the decision of WNZL’s Board to approve closure of the Risk Governance programme of work, noted
the improvements made by WNZL to date and that any remaining activity will be overseen by the WNZL Board Risk
and Compliance Committee.
The Liquidity Review related to the effectiveness of WNZL’s actions to improve liquidity risk management and the
associated risk culture. The review was, completed in May 2022 and did not identify any material control gaps or
issues and made some recommendations for improvement, which are being implemented as part of WNZL’s
continuous improvement activity. Since then, WNZL has undertaken further assurance work and continues to review
and enhance the control framework.
From 31 March 2021, the RBNZ amended WNZL’s conditions of registration, requiring WNZL to discount the value
of its liquid assets by approximately 14%. From 15 August 2022, the RBNZ reduced the overlay quantum to
approximately 7%, which at 30 June 2023 was $1.5 billion. The overlay will remain in place until the RBNZ is satisfied
that control assurance work has been completed.

1
For the purposes of APS222, subsidiaries controlled by Westpac, other than subsidiaries that form part of the ELE, represent ‘related
entities’. Prudential and internal limits apply to intra-group exposures between the ELE and related entities, both on an individual and
aggregate basis.

Pillar 3 report
Capital overview

8 | Westpac Group June 2023 Pillar 3 report
Capital management strategy
1

Westpac evaluates its approach to capital management through an Internal Capital Adequacy Assessment Process
(ICAAP). Key features include:
 The development of a capital management strategy, including consideration of regulatory capital minimums,
capital buffers and contingency plans. The current regulatory capital minimums together with the capital
conservation buffer (CCB) and countercyclical capital buffer are the Total CET1 requirement. The Total CET1
Requirement for Westpac is at least 10.25%
1
based on an industry minimum CET1 requirement of 4.5% plus a
capital conservation buffer of 4.75% and a countercyclical capital buffer of 1.0%
2
.
 Consideration of regulatory capital requirements and the perspectives of external stakeholders including rating
agencies as well as equity and debt investors; and
 A stress testing framework that challenges the capital measures, coverage and capital requirements including
the impact of adverse economic scenarios.

The Board has determined that Westpac will target a CET1 operating capital range of between 11.0% and 11.5%,
in normal operating conditions.

Westpac’s capital adequacy ratios
%30 June 202331 March 202330 June 2022
The Westpac Group at Level 2
Common equity Tier 1 capital ratio11.9 12.3 10.7
Additional Tier 1 capital2.2 2.2 2.0
Tier 1 capital ratio14.0 14.5 12.8
Tier 2 capital ratio5.7 5.3 4.4
Total regulatory capital ratio19.7 19.8 17.2
The Westpac Group at Level 1
Common equity Tier 1 capital ratio12.0 12.5 10.6
Additional Tier 1 capital2.4 2.4 2.2
Tier 1 capital ratio14.4 14.9 12.7
Tier 2 capital ratio6.2 5.8 4.7
Total regulatory capital ratio20.6 20.7 17.5


Westpac New Zealand Limited’s capital adequacy ratios
%30 June 202331 March 202330 June 2022
Common equity Tier 1 capital ratio11.3 11.1 11.5
Additional Tier 1 capital1.6 1.6 2.0
Tier 1 capital ratio12.9 12.7 13.5
Tier 2 capital ratio1.0 1.0 1.2
Total regulatory capital ratio13.9 13.7 14.8


1
Noting that APRA may apply higher CET1 requirements for an individual ADI.
2
APRA has currently set a 1.0% default countercyclical capital buffer for Australian exposures however this may be varied by APRA in
the range of 0 to 3.5%. The final countercyclical capital buffer is ADI specific and dependent on a bank’s international exposures.

Pillar 3 report
Capital overview

Westpac Group June 2023 Pillar 3 report | 9

Capital requirements


APRA’s revised capital framework became effective on 1 January 2023. This included updated prudential standards
for public disclosures, capital adequacy and credit risk capital. A summary of these changes has been included in
Appendix I. A key change of the framework has been asset classifications used to determine RWA and the use of
the foundation IRB approach (FIRB) for some exposure classes. Under FIRB, an ADI must provide its own estimates
of Probably of Default (PD) and maturity and rely on supervisory estimates of Loss Given Default (LGD) and EAD.
The table below summarises Westpac’s revised credit risk asset classes under APRA’s revised capital framework.
A further explanation of the new asset classes is set out in Appendix I.

Revised Credit Asset Classes Previously Reported Credit Asset Classes
Corporate Corporate
Business Lending Business Lending
Small Business
Property Finance Specialised Lending
Large Corporate Corporate
Sovereign Sovereign
Financial Institutions Corporate
Business Lending
Bank
Residential Mortgages Residential Mortgages
Australian Credit Cards Australian Credit Cards
Other Retail Other Retail
Small Business Small Business
Business Lending
Specialised Lending Specialised Lending
Securitisation Securitisation
New Zealand Corporate
Business Lending
Sovereign
Banks
Residential mortgages
Other retail
Small business
Specialised lending
Securitisation

Pillar 3 report
Capital overview

10 | Westpac Group June 2023 Pillar 3 report
This table shows risk weighted assets for each risk type included in the regulatory assessment of Westpac’s capital
adequacy. The 30 June 2023 and 31 March 2023 balances below incorporate the revised credit asset classes under
APRA’s revised capital framework.
30 June 2023
IRBFIRBStandardisedTotal Risk
$m
Approach
1
ApproachApproach
2
Weighted Assets
Credit risk
Corporate 24,542 -1,075 25,617
Business Lending26,752 -186 26,938
Property Finance32,119 --32,119
Large Corporate-20,281 -20,281
Sovereign-2,360 1,814 4,174
Financial Institutions-14,895 82 14,977
Residential Mortgages111,459 -18,834 130,293
Australian Credit Cards3,937 --3,937
Other Retail5,113 -467 5,580
Small Business17,908 -169 18,077
Specialised Lending3,042 -456 3,498
Securitisation7,098 --7,098
New Zealand42,809 -2,015 44,824
Mark-to-market related credit risk
3
- - 5,353 5,353
Total Credit risk274,779 37,536 30,451 342,766
Market risk14,561
Operational risk55,362
Interest rate risk in the banking book42,635
Other
4
4,692
Total460,016
31 March 2023
IRBFIRBStandardisedTotal Risk
$m
Approach
1
ApproachApproach
2
Weighted Assets
Credit risk
Corporate 24,309 -1,147 25,456
Business Lending25,928 -177 26,105
Property Finance31,234 -- 31,234
Large Corporate-21,228 - 21,228
Sovereign-2,357 1,777 4,134
Financial Institutions-15,057 75 15,132
Residential Mortgages109,164 -19,651 128,815
Australian Credit Cards3,957 --3,957
Other Retail5,304 -464 5,768
Small Business18,219 -170 18,389
Specialised Lending2,931 - 464 3,395
Securitisation6,400 --6,400
New Zealand43,301 -2,030 45,331
Mark-to-market related credit risk
3
- - 5,214 5,214
Total Credit risk270,747 38,642 31,169 340,558
Market risk15,168
Operational risk56,900
Interest rate risk in the banking book34,748
Other
4
5,572
Total452,946
1234


1
IRB approaches excluding FIRB.
2
Westpac’s standardised risk weighted assets are categorised based on their equivalent IRB categories.
3
Mark-to-market related credit risk is measured under the standardised approach. It is also known as Credit Valuation Adjustment (CVA)
risk.
4
Other assets include cash items, unsettled transactions, fixed assets and other non-interest earning assets.

Pillar 3 report
Capital overview

Westpac Group June 2023 Pillar 3 report | 11

1
30 June 2022
IRBStandardisedTotal Risk
$m
Approach
1
Approach
2
Weighted Assets
Credit risk
Corporate70,238 841 71,079
Business lending31,732 726 32,458
Sovereign2,389 1,658 4,047
Bank5,089 104 5,193
Residential mortgages147,721 3,069 150,790
Australian credit cards3,944 - 3,944
Other retail7,296 744 8,040
Small business14,128 - 14,128
Specialised lending59,453 395 59,848
Securitisation6,883 - 6,883
Mark-to-market related credit risk
3
5,869 5,869
Total348,873 13,406 362,279
Market risk9,837
Operational risk57,875
Interest rate risk in the banking book43,498
Other assets
4
4,540
Total478,029



1

IRB approaches including FIRB.

2
Westpac’s standardised risk weighted assets are categorised based on their equivalent IRB categories.
3
Mark-to-market related credit risk is measured under the standardised approach. It is also known as Credit Valuation Adjustment (CVA)
risk.
4
Other assets include cash items, unsettled transactions, fixed assets and other non-interest earning assets.

Pillar 3 report
Leverage ratio

12 | Westpac Group June 2023 Pillar 3 report
Leverage ratio
The following table summarises Westpac’s leverage ratio. APRA’s revised capital framework has introduced a
minimum leverage ratio of 3.5% and revised the calculation of leverage exposure. Revisions include:
 Revised credit conversion factors for the calculation of off-balance sheet exposures to align with the
standardised approach to RWA; and
 Revised calculation of derivative exposure to align with the calculation of counterparty credit risk RWA.
The 30 June 2023 and 31 March 2023 leverage ratios incorporate these revisions.

$ billion30 June 202331 March 2023 31 December 2022 30 September 2022
Net Tier 1 Regulatory Capital64.5 65.6 63.4 63.9
Total Exposures1,202.1 1,200.1 1,151.3 1,140.3
Leverage ratio
5.4%5.5%5.5%5.6%

Pillar 3 report
Credit risk exposures

Westpac Group June 2023 Pillar 3 report | 13

Summary credit risk disclosure
12




1
Includes regulatory expected losses for defaulted and non-defaulted exposures.
2
Corporate loan losses include the recovery of a previously written off loan of $40m.
3
At 30 June 2022 Westpac applied a floor of 25% to its residential mortgage portfolio risk weight.
4
Includes mark-to-market related credit risk.


Regulatory
ExpectedSpecificActual
RiskRegulatoryLoss for Provision f or Losses f or
30 June 2023
ExposureWeightedExpected non-defaultedNon-Perf ormingthe 9 months
$m
at Def aultAssetsLoss
1
exposuresExposuresended
Corporate
2
38,372 24,542 593 140 140 (25)
Business Lending42,310 26,752 506 270 282 23
Property Finance53,904 32,119 300 164 136 3
Large Corporate39,493 20,281 64 64 --
Sovereign208,470 2,360 5 2 --
Financial Institutions37,980 14,895 66 31 16 6
Residential Mortgages523,670 111,459 1,112 760 354 20
Australian Credit Cards13,653 3,937 170 130 36 72
Other Retail5,263 5,113 225 147 74 84
Small Business29,387 17,908 568 376 187 43
Specialised Lending3,965 3,042 24 24 --
Securitisation36,023 7,098 ----
Standardised
4
29,481 28,436 - - 90 5
New Zealand129,733 44,824 530 353 127 15
Total1,191,704 342,766 4,163 2,461 1,442 246
ExpectedSpecificActual
RiskRegulatoryLoss for Provision f or Losses f or
31 March 2023
ExposureWeightedExpected non-defaultedNon-Perf ormingthe 6 months
$m
at Def aultAssetsLoss
1
exposuresExposuresended
Corporate
2
37,110 24,309 588 136 147 (26)
Business Lending40,861 25,928 490 263 235 16
Property Finance52,697 31,234 288 154 134 2
Large Corporate40,248 21,228 63 63 --
Sovereign210,868 2,357 2 2 --
Financial Institutions37,687 15,057 71 31 18 5
Residential Mortgages518,276 109,164 1,057 731 330 11
Australian Credit Cards13,675 3,957 172 131 37 44
Other Retail5,586 5,304 234 151 80 53
Small Business29,559 18,219 576 374 196 31
Specialised Lending3,746 2,931 26 26 --
Securitisation32,831 6,400 ----
Standardised
4
30,253 29,139 --98 -
New Zealand134,507 45,331 534 360 118 7
Total1,187,904 340,558 4,101 2,422 1,393 143
Regulatory
ExpectedSpecif icActual
RiskRegulatoryLoss forProvisions Losses for
30 June 2022
ExposureWeightedExpected non-defaultedImpairedf or Impaired
the 9 months
$m
at Def aultAssets
1
Loss
1
exposuresLoansLoansended
Corporate139,009 70,238 854 322 313 243 303
Business lending54,163 31,732 595 333 320 149 65
Sovereign229,423 2,389 2 2 ---
Bank22,191 5,089 6 6 ---
Residential mortgages
3
590,902 147,721 1,551 1,112 214 64 29
Australian credit cards15,170 3,944 168 129 63 35 78
Other retail9,634 7,296 335 217 217 115 61
Small business28,990 14,128 454 284 315 149 22
Specialised lending72,261 59,453 884 556 76 17 -
Securitisation36,187 6,883 -----
Standardised
4
14,845 13,406 --99 45 -
Total1,212,775 362,279 4,849 2,961 1,617 817 558

Pillar 3 report
Credit risk exposures

14 | Westpac Group June 2023 Pillar 3 report
The following tables segment the portfolio by characteristics that provide an insight into the assessment of credit
risk concentration.
Exposure at Default by major type
1
1



1
Given the introduction of new credit risk asset classes under APRA’s revised capital framework, which resulted in exposures moving
between asset classes, average EAD over the six-months to 31 March 2023 has not been included for 31 March 2023.
2
Average is based on exposures as at 30 June 2023 and 31 March 2023.
3
Average is based on exposures as at 30 June 2022 and 31 March 2022.

30 June 2023
On balance
Total ExposureAverage
$m
sheet Non-market relatedMarket relatedat Def ault 3 months ended
2
Corporate 26,027 9,223 3,122 38,372 37,741
Business Lending36,926 5,325 59 42,310 41,586
Property Finance48,244 5,387 273 53,904 53,301
Large Corporate20,522 14,657 4,314 39,493 39,871
Sovereign170,171 246 38,053 208,470 209,668
Financial Institutions16,651 4,356 16,973 37,980 37,834
Residential Mortgages458,515 65,155 -523,670 520,972
Australian Credit Cards6,182 7,471 -13,653 13,664
Other Retail4,288 975 -5,263 5,425
Small Business22,229 7,158 -29,387 29,473
Specialised Lending1,889 1,954 122 3,965 3,856
Securitisation27,212 8,769 42 36,023 34,427
Standardised23,107 3,458 2,916 29,481 29,867
New Zealand107,576 21,628 529 129,733 132,119
Total969,539 155,762 66,403 1,191,704 1,189,804
31 March 2023
On balance
Total Exposure
$m
sheet Non-market relatedMarket relatedat Def ault
Corporate 25,900 8,319 2,891 37,110
Business Lending35,255 5,541 65 40,861
Property Finance47,275 5,097 325 52,697
Large Corporate20,818 14,767 4,663 40,248
Sovereign162,968 188 47,712 210,868
Financial Institutions17,819 4,106 15,762 37,687
Residential Mortgages452,592 65,684 -518,276
Australian Credit Cards6,149 7,526 -13,675
Other Retail4,584 1,002 -5,586
Small Business22,280 7,279 -29,559
Specialised Lending1,846 1,746 154 3,746
Securitisation26,254 6,506 71 32,831
Standardised24,206 3,387 2,660 30,253
New Zealand112,731 21,302 474 134,507
Total960,677 152,450 74,777 1,187,904
30 June 2022
On balance
Total ExposureAverage
$m
sheet Non-market relatedMarket relatedat Def ault 3 months ended
3
Corporate59,748 59,602 19,659 139,009 134,759
Business lending40,659 13,504 -54,163 53,764
Sovereign173,433 1,877 54,113 229,423 214,439
Bank11,342 1,484 9,365 22,191 21,724
Residential mortgages510,792 80,110 -590,902 588,355
Australian credit cards6,216 8,954 -15,170 15,182
Other retail7,045 2,589 -9,634 9,973
Small business22,230 6,760 -28,990 29,322
Specialised lending58,541 13,207 513 72,261 71,556
Securitisation28,181 7,957 49 36,187 34,777
Standardised11,256 989 2,600 14,845 14,561
Total929,443 197,033 86,299 1,212,775 1,188,412
Off -balance sheet
Off -balance sheet
Off -balance sheet

Pillar 3 report
Credit risk exposures

Westpac Group June 2023 Pillar 3 report | 15

Expected credit loss provision
1
This table provides a summary of expected credit loss provisions. For 30 June 2023 and 31 March 2023 Stage 1
and Stage 2 credit losses are included in the provisions held against the Performing Exposures line item. Stage 3
credit losses are included in the Total Specific Provision line.







1
Provisions classified according to APRA’s letter dated 4 July 2017 “Provisions for regulatory purposes and AASB 9 financial instruments”.
30 June 2023
Total Regulatory
$m
IAPsCAPs Provisions
Specific Provisions
for impaired loans407 243 650
for defaulted but not impaired loans-792 792
Total Specific Provision
1
407 1,035 1,442
Provisions held against performing exposures-3,656 3,656
Total provisions for ECL
407 4,691 5,098
31 March 2023
Total Regulatory
$m
IAPsCAPs Provisions
Specific Provisions
for impaired loans382 269 651
for defaulted but not impaired loans-742 742
Total Specific Provision
1
382 1,011 1,393
Provisions held against performing exposures-3,530 3,530
Total provisions for ECL
382 4,541 4,923
30 June 2022
Total Regulatory
$m
IAPsCAPs Provisions
Specific Provisions
for impaired loans521 296 817
for defaulted but not impaired loans-650 650
for Stage 2-1,990 1,990
Total Specific Provision
1
521 2,936 3,457
General Reserve for Credit Loss
1
-1,087 1,087
Total provisions for expected credit losses
521 4,023 4,544
A-IFRS Provisions
A-IFRS Provisions
A-IFRS Provisions

Pillar 3 report
Credit risk exposures

16 | Westpac Group June 2023 Pillar 3 report
Non-performing and past due loans
This table discloses non-performing and past due loans by credit asset class. Under the revised capital framework,
ADI’s are required to disclose non-performing exposures which are exposures in default aligned to the definition in
APS220 Credit Risk Management. Under APS 220, the initial recognition of default under APS220 is where either
one, or both, of the following has happened:
 Westpac considers that the borrower is unlikely to pay its credit obligations to Westpac in full, and without
recourse to actions such as realising available security;
 the borrower is 90 days or more past-due on a credit obligation to Westpac.
The revised definition also requires ADI’s to classify an exposure as non-performing for an additional 90 days after
returning to performing.
Non-performing and past due loans by portfolio
12

Non-Perf ormingNon-Perf ormingTotalSpecif ic provisionsActual
30 June 2023
ExposuresExposuresNon-Perf ormingf or Non-Perf ormingLosses f or the
$m
- Not Impaired- ImpairedExposuresExposures 9 months ended
Corporate 54 145 199 140(25)
Business Lending879 185 1,064 28223
Property Finance694 26 720 1363
Large Corporate-----
Sovereign-----
Financial Institutions41 13 54 16 6
Residential Mortgages3,777 233 4,010 354 20
Australian Credit Cards-96 96 36 72
Other Retail-150 150 74 84
Small Business691 356 1,047 187 43
Specialised Lending-----
Securitisation-----
Standardised307 126 433 905
New Zealand653 88 741 12715
Total7,096 1,418 8,514 1,442246
Non-Perf ormingNon-Perf ormingTotalSpecif ic provisionsActual
31 March 2023
ExposuresExposuresNon-Perf ormingf or Non-Perf ormingLosses f or the
$m
- Not Impaired- ImpairedExposuresExposures 6 months ended
Corporate 78 164 242 147(26)
Business Lending890 164 1,054 23516
Property Finance719 23 742 1342
Large Corporate-----
Sovereign-----
Financial Institutions50 15 65 18 5
Residential Mortgages3,397 232 3,629 330 11
Australian Credit Cards-100 100 37 44
Other Retail-160 160 80 53
Small Business692 429 1,121 196 31
Specialised Lending-----
Securitisation-----
Standardised309 137 446 98-
New Zealand574 97 671 1187
Total6,709 1,521 8,230 1,393143
Specif icActual
30 June 2022
Def aultedImpairedProvisions f orLosses f or the
$m
not impaired
1
Loans Impaired Loans9 months ended
Corporate144 313 243 303
Business lending971 320 149 65
Sovereign----
Bank----
Residential mortgages3,991 214 64 29
Australian credit cards-63 35 78
Other retail-217 115 61
Small business502 315 149 22
Specialised lending557 76 17 -
Securitisation----
Standardised70 99 45 -
Total6,235 1,617 817 558


1
Includes items past 90 days not impaired.

Pillar 3 report
Securitisation

Westpac Group June 2023 Pillar 3 report | 17

Banking book summary of securitisation activity by asset type
This table shows assets transferred into securitisation schemes by underlying asset type (ADI originated) for the
relevant period.
Amounts securitised for the 3 months ended to 30 June 2023 were $1.8 billion, a reduction of $17.2 billion from the
3 months ended 30 June 2022. Amounts securitised for the 6 months ended 31 March 2023 were $14.2 billion. The
reduction in assets securitised is primarily due to lower requirements following the phase-out of the Reserve Bank
of Australia’s Committed Liquidity Facility on 1 January 2023.

For the 3 months ended
30 June 2023
AmountRecognised gain or
$m
securitisedloss on sale
Residential mortgages1,819 -
Credit cards--
Auto and equipment finance--
Business lending--
Investments in ABS--
Other--
Total1,819 -
For the 6 months ended
31 March 2023
AmountRecognised gain or
$m
securitisedloss on sale
Residential mortgages14,236 -
Credit cards--
Auto and equipment finance--
Business lending--
Investments in ABS--
Other--
Total14,236 -
For the 3 months ended
30 June 2022
AmountRecognised gain or
$m
securitisedloss on sale
Residential mortgages19,110 -
Credit cards--
Auto and equipment finance--
Business lending--
Investments in ABS--
Other--
Total19,110 -

Pillar 3 report
Securitisation

18 | Westpac Group June 2023 Pillar 3 report

Banking book summary of on and off-balance sheet securitisation by exposure type

30 June 2023
Off-balanceTotal Exposure
$m
Securitisation retainedSecuritisation purchasedsheetat Default
Securities-8,163 65 8,228
Liquidity facilities--289 289
Funding facilities4,309 -495 4,803
Underwriting facilities----
Lending facilities1,842 -151 1,993
Warehouse facilities12,896 -7,813 20,709
Total19,046 8,163 8,814 36,023
31 March 2023
Off-balanceTotal Exposure
$m
Securitisation retainedSecuritisation purchasedsheetat Default
Securities-7,135 -7,135
Liquidity facilities--292 292
Funding facilities3,634 -431 4,064
Underwriting facilities----
Lending facilities1,953 -125 2,078
Warehouse facilities13,534 -5,729 19,263
Total19,120 7,135 6,577 32,831
30 June 2022
Off-balanceTotal Exposure
$m
Securitisation retainedSecuritisation purchasedsheetat Default
Securities-7,383 36 7,419
Liquidity facilities--281 281
Funding facilities4,551 -1,697 6,248
Underwriting facilities----
Lending facilities2,545 -
368
2,913
Warehouse facilities13,703 -5,623 19,326
Total20,799 7,383 8,005 36,187
On balance sheet
On balance sheet
On balance sheet

Pillar 3 report
Securitisation

Westpac Group June 2023 Pillar 3 report | 19

Trading book summary of on and off-balance sheet securitisation by exposure type
1
1


30 June 2023
Off-balanceTotal Exposure
$m
Securitisation retainedSecuritisation purchasedsheetat Default
Securities-455 -455
Liquidity facilities----
Funding facilities----
Underwriting facilities----
Lending facilities----
Warehouse facilities----
Credit enhancements----
Basis swaps--37 37
Other derivatives--5 5
Total-455 42 498
31 March 2023
Off-balanceTotal Exposure
$m
Securitisation retainedSecuritisation purchasedsheetat Default
Securities-610 -610
Liquidity facilities----
Funding facilities----
Underwriting facilities----
Lending facilities----
Warehouse facilities----
Credit enhancements----
Basis swaps--65 65
Other derivatives--6 6
Total-610 71 681
30 June 2022
Off-balanceTotal Exposure
$m
Securitisation retainedSecuritisation purchasedsheetat Default
Securities-518 -518
Liquidity facilities----
Funding facilities----
Underwriting facilities----
Lending facilities----
Warehouse facilities----
Credit enhancements----
Basis swaps--34 34
Other derivatives--15 15
Total-518 49 566
On balance sheet
On balance sheet
On balance sheet



1
Trading book securitisation exposure is captured and risk weighted under APS116.

Pillar 3 report
Liquidity coverage ratio

20 | Westpac Group June 2023 Pillar 3 report

Liquidity Coverage Ratio
1
The average LCR for the quarter was 138%, up from 135% at 31 March 2023. APRA’s regulatory minimum is 100%.
The increase in the period was mainly driven by an increase in holdings of liquid assets and a decrease in net cash
outflows.
Liquid assets included in the LCR comprise High Quality Liquid Assets (HQLA) and additional qualifying RBNZ
securities.
The portfolio of HQLA averaged $184.1 billion
1
, up from $182.9 billion from the prior quarter.
Funding is sourced from retail, small business, corporate and institutional customer deposits and wholesale funding.
Westpac seeks to minimise the outflows associated with this funding by targeting customer deposits with lower LCR
outflow rates and actively manages the maturity profile of its wholesale funding portfolio. The Group maintains a
buffer over the regulatory minimum of 100%.
$m
Total unweighted
(average)
Total weighted
(average)
Total unweighted
(average)
Total weighted
(average)
Liquid assets, of which:
1. High-quality liquid assets (HQLA)184,088182,940
2. Alternative liquid assets (ALA)00
3. Reserve Bank of New Zealand (RBNZ) securities4,5333,540

Cash Outflows
4. Retail deposits and deposits from small business customers, of which:323,22528,759319,95328,559
5. Stable deposits156,4377,822154,4987,725
6. Less stable deposits166,78820,937165,45520,834
7. Unsecured wholesale funding, of which:168,60978,425178,39983,270
8. Operational deposits (all counterparties) and deposits in networks for
cooperative banks71,85217,89375,70918,858
9. Non-operational deposits (all counterparties)83,64347,41887,70049,422
10. Unsecured debt13,11413,11414,99014,990
11. Secured wholesale funding2,8160
12. Additional requirements, of which:212,23429,016209,52429,011
13. Outflows related to derivatives exposures and other collateral requirements11,53611,53612,01512,015
14. Outflows related to loss of funding on debt products241241300300
15. Credit and liquidity facilities200,45717,239197,20916,696
16. Other contractual funding obligations8,5365,7546,4714,023
17. Other contingent funding obligations49,6424,28746,2403,847
18. Total cash outflows149,057148,710

Cash inflows
19. Secured lending (e.g. reverse repos)6,43404,5230
20. Inflows from fully performing exposures9,2684,9368,2604,340
21. Other cash inflows7,5527,5526,7346,734
22. Total cash inflows23,25412,48819,51711,074

23. Total liquid assets188,621186,480
24. Total net cash outflows136,569137,636
24.1 Net cash outflows overlay
25. Liquidity Coverage Ratio (%)138%135%
Number of data points used
6263
30 June 202331 March 2023


1
Calculated as a simple average of the daily observations over the quarter.

Pillar 3 report
Appendix I - APRA revised capital framework

Westpac Group June 2023 Pillar 3 report | 21

APRA’s revised capital framework (Basel III) became effective on 1 January 2023 and included updated prudential
standards for capital adequacy and credit risk capital. The objectives of the revised capital framework are to provide
flexibility for banks to operate in all environments including in times of stress, enhance risk sensitivity and improve
comparability with international standards. Revisions include:
 Capital requirements: Total CET1 Requirement for D-SIBs (including Westpac), is 10.25% (noting that APRA
may apply higher CET1 requirements for an individual ADI). This comprises:
 Minimum CET1 of 4.5%;
 Capital conservation buffer (CCB) of 4.75%; and
 Countercyclical capital buffer of 1.0%.
 Calculation of Credit RWA: Several changes with the most significant including:
 Asset classifications used to determine RWA;
 Greater use of internal modelling within property finance and mortgages which reduced risk weightings;
 Higher capital requirements for higher risk segments such as interest only and investor mortgages;
 Revised credit conversion factors (CCFs) for the calculation of off-balance sheet exposures which has
reduced exposure at default. CCFs are percentage values used to convert an off-balance sheet exposure
into an on-balance sheet equivalent; and
 New Zealand RWA largely determined by the RBNZ requirements which increased RWA compared to prior
periods.
 Introduction of a capital floor which limits the capital benefit available to advanced banks to no more than 72.5%
of the RWA outcomes available under the standardised approach; and
 Introduction of a minimum leverage ratio of 3.5% and amendments of the leverage exposure calculation.
Implementation of the revised capital framework reduced credit RWA by $23.7 billion. Key drivers were:
 Property Finance: Internal modelling has reduced the risk weight of property finance from 85% to 61%. These
exposures were formerly calculated using the IRB slotting approach;
 Residential Mortgages: Revisions to mortgage models reduced RWA, although additional capital was required
for higher risk segments, including standardised risk weights for some exposures. Overall, this change resulted
in a reduction in the mortgage risk weight by 110 basis points to 23.9%; and
 Off-balance sheet exposures: EAD has reduced by $40.4 billion mainly related to changes in CCFs for non-
retail exposures.

Changes to credit risk capital
APRA’s revised capital framework included updated prudential standards for credit risk capital (APS113 Capital
Adequacy: Internal Ratings-Based Approach to Credit Risk). In line with the revised standard an ADI must categorise
banking book exposures into four broad IRB APS113 asset classes (Corporate, Sovereign, Financial Institution and
Retail) and apply the prescribed treatment for those classes to each credit exposure within them for the purposes of
deriving its regulatory capital requirement. APS113 cascades these asset classes into further sub-asset classes as
per below.
APRA’s revised capital framework results in changes to previously reported credit asset classes. This includes
changes to credit RWA calculations from AIRB to a foundation IRB approach (FIRB) for some exposure classes.
Under FIRB, an ADI must provide its own estimates of PD and maturity and rely on supervisory estimates of LGD
and EAD.
The below table sets out Westpac’s revised credit risk asset classes under APRA’s revised standards.
Revised Credit Asset
Classes
Previously Reported
Credit Asset Classes
Revised Asset Class definition
Corporate Corporate The Corporate asset class covers credit exposures where consolidated annual
revenue < $750m, but greater than $75m, and does not meet the definition of
Business Lending or Small Business exposures. Large Corporate exposures
previously included in Corporate are identified as a separate asset class, with
credit RWA measured under FIRB (previously measured under AIRB).
The annual revenue threshold between Corporate and Business Lending has
been updated from $50m to $75m, resulting in a portion of exposures shifting from
Corporate to Business Lending (eligible for firm-size adjustment).
Non-bank financial institutions have been transferred from the Corporate asset
class and included in the new Financial Institutions asset class (expanded from
the previous ‘Bank’ asset class), with credit RWA measured under FIRB
(previously measured under AIRB).
Business Lending Business Lending Business Lending exposures are credit exposures to business customers with
annual revenue less than $75m. The annual revenue threshold between

Pillar 3 report
Appendix I - APRA revised capital framework

22 | Westpac Group June 2023 Pillar 3 report


Standardised and Securitised portfolios are separately treated under APS112 Capital Adequacy: Standardised
Approach to Credit Risk and APS120 Securitisation respectively.
Revised Credit Asset
Classes
Previously Reported
Credit Asset Classes
Revised Asset Class definition
Small Business Corporate and Business Lending changed under APRA’s revised framework from
$50m to $75m, resulting in a portion of exposures shifting from Corporate to
Business Lending (eligible for firm-size adjustment).
Small Business exposures are business customer where total exposures is less
than $1.5m or the customer holds a complex product. APRA’s revised capital
framework increased the Small Business exposure threshold from $1m to $1.5m,
resulting in a portion of exposures shifting from Business Lending to Small
Business.
Non-bank financial institutions have been transferred from the Business Lending
asset class and included in the new Financial Institutions asset class (expanded
from the previous ‘Bank’ asset class), with credit RWA measured under FIRB
(previously under AIRB).
Property Finance Specialised Lending Income-producing Real Estate (IPRE) exposures within specialised lending risk-
weighted according to the AIRB approach (previously supervisory slotting) and
now classified as Property finance. Property finance represents exposures where
repayments depend primarily on the cash flows generated by the asset or other
real estate assets owned by the borrower.
Large Corporate Corporate
Large Corporate exposures are credit exposures to corporate counterparties
(where consolidated annual revenue > $750m) and are identified as a separate
asset class, with credit RWA measured under FIRB (previously measured under
AIRB).
Sovereign Sovereign Sovereign exposures are credit exposures to central and sub-national
governments, central banks, and development banks or institutions eligible for
zero risk weights. Sovereign credit RWA measured under FIRB (previously under
AIRB).
Domestic Public Sector Entities (PSEs) have been transferred from the Sovereign
asset class to the Corporate asset class.
Financial Institutions Corporate
Business Lending
Bank
Financial Institution exposures are credit exposures to financial institution
counterparties. Financial institutions include, but are not limited to, banks,
securities firms, insurance companies and leveraged funds. Non-bank financial
institution exposures have been transferred from the Corporate and Business
lending to the Financial Institutions asset class. Financial institutions credit RWA
measured under FIRB (previously AIRB).
Residential Mortgages Residential Mortgages Asset class remains materially the same; however, non-standard mortgages
receive 100% standardised risk weight (rather than the internally-modelled Retail
IRB approach) and mortgages within New Zealand are presented within the New
Zealand asset class.
Australian Credit
Cards
Australian Credit
Cards
No material change.
Other Retail Other Retail No material change.
Small Business Small Business
Business Lending
Small Business exposures are business customer where total exposures is less
than $1.5m or the customer holds a complex product. APRA’s revised capital
framework increased the Small Business exposure threshold from $1m to $1.5m,
resulting in a portion of exposures shifting from Business Lending to Small
Business.
Specialised Lending Specialised Lending
Specialised Lending includes Project Finance (including Object Finance)
exposures. This exposure class excludes Property Finance exposures that are
now a separate asset class and risk-weighted according to the AIRB approach.
Project finance is defined as exposures where revenues generated by a single
project, are both the primary source of repayment and security for the loan. Object
finance is defined as lending for the acquisition of equipment where the repayment
of the loan is dependent on the cash flows generated by the specific assets that
have been financed and pledged or assigned to the lender.
Securitisation Securitisation See New Zealand section below. Otherwise, no material changes
New Zealand Corporate
Business Lending
Sovereign
Banks
Residential mortgages
Other retail
Small business
Specialised lending
Securitisation
Under the revised capital framework, RBNZ regulated exposures are calculated
using RBNZ rules and disclosed separately under a New Zealand class.

Pillar 3 report
Appendix II - APS 330 quantitative requirements

Westpac Group June 2023 Pillar 3 report | 23

APS330 reference
Westpac disclosure
Page
General Requirements
Paragraph 51 Tier 1 capital, total exposures and leverage ratio 12

Attachment C

Table 3:
Capital Adequacy
(a) to (e)
(f)
Capital requirements
Westpac’s capital adequacy ratios
Capital adequacy ratios of major subsidiary banks
10
8
8

Table 4:
Credit Risk - general
disclosures
(a)
(b)
(c)
Exposure at Default by major type
Non-performing and past due loans by portfolio
Provisions held against performing exposures

14
16
15

Table 5:
Securitisation exposures
(a)

(b)

Banking Book summary of securitisation activity by asset type
Banking Book summary of on and off-balance sheet
securitisation by exposure type
Trading Book summary of on and off-balance sheet
securitisation by exposure type

17

18

19

Attachment F

Table 20: Liquidity
Coverage Ratio disclosure
template
Liquidity Coverage Ratio disclosure 20



Exchange rates
The following exchange rates were used in the Westpac Pillar 3 report and reflect spot rates for the period end.

$30 June 2023 31 March 2023 30 June 2022
USD0.66250.67110.6890
GBP0.52550.54180.5666
NZD1.08901.06801.1077
EUR0.61010.61580.6584

Pillar 3 report
Disclosure regarding forward-looking statements

24 | Westpac Group June 2023 Pillar 3 report

The information contained in this report contains statements that constitute “forward-looking statements” within the
meaning of section 21E of the U.S. Securities Exchange Act of 1934.
Forward-looking statements are statements that are not historical facts. Forward-looking statements appear in a
number of places in this report and include statements regarding Westpac’s intent, belief or current expectations
with respect to its business and operations, macro and micro economic and market conditions, results of operations
and financial condition, capital adequacy and risk management, including, without limitation, future loan loss
provisions and financial support to certain borrowers, forecasted economic indicators and performance metric
outcomes, indicative drivers, climate- and other sustainability- related statements, commitments, targets, projections
and metrics, and other estimated and proxy data.
Words such as ‘will’, ‘may’, ‘expect’, ‘intend’, ‘seek’, ‘would’, ‘should’, ‘could’, ‘continue’, ‘plan’, ‘estimate’, ‘anticipate’,
‘believe’, ‘probability’, ‘indicative’, ‘risk’, ‘aim’, ‘outlook’, ‘forecast’, ‘f’cast’, ‘f’, ‘assumption’, ‘projection’, ‘target,’ goal’,
‘guidance’, ‘ambition’ or other similar words are used to identify forward-looking statements, or otherwise identify
forward-looking statements. These forward-looking statements reflect Westpac’s current views on future events and
are subject to change, certain known and unknown risks, uncertainties and assumptions and other factors which
are, in many instances, beyond Westpac’s control (and the control of Westpac’s officers, employees, agents and
advisors), and have been made based on management’s expectations or beliefs concerning future developments
and their potential effect upon Westpac.
Forward-looking statements may also be made, verbally or in writing, by members of Westpac’s management or
Board in connection with this report. Such statements are subject to the same limitations, uncertainties, assumptions
and disclaimers set out in this report.
There can be no assurance that future developments or performance will align with Westpac’s expectations or that
the effect of future developments on Westpac will be those anticipated. Actual results could differ materially from
those we expect or which are expressed or implied in forward-looking statements, depending on various factors
including, but not limited to, those described in the section titled ‘Risk Factors’ in Westpac’s 2023 Interim Financial
Results Announcement. When relying on forward-looking statements to make decisions with respect to Westpac,
investors and others should carefully consider such factors and other uncertainties and events.
Except as required by law, Westpac assumes no obligation to revise or update any forward-looking statements in
this report, whether from new information, future events, conditions or otherwise, after the date of this report.