Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


Aussie banks profits add to NZ account deficit

Aussie banks profits add to NZ account deficit

Current account figures announced today throws the spotlight on the behaviour of Australian owned banks operating in New Zealand says Finsec, the finance workers union.

An increase in profits earned by foreign-owned New Zealand companies was a key reason sited by Statistics New Zealand for an investment income deficit that contributed to an increased current account deficit of $14.2 billion.

“Australian owned banks have to start behaving in the economic interests of New Zealand. It is economically short sighted to not invest more profit in New Zealand,” said Finsec Campaigns Director Andrew Campbell.

“These figures support the urgent need for higher wages and greater investment in the New Zealand banking industry,” said Campbell.

“These figures show that our call for the banks to provide better wages, more staff and greater investment in customer service can no longer be dismissed as an issue for bank workers only. Failure to act is now a threat to our whole economy,” said Campbell.

“The four major Australian owned banks announced collective year end profits of well in excess of two billion dollars at the same time that our account deficit gets worse. It is clear that the banks must act now to improve this situation,” said


© Scoop Media

Business Headlines | Sci-Tech Headlines


Economy: GDP Rises On Strength In Services

The economy, as measured by gross domestic product (GDP), grew 0.6 percent in the December 2017 quarter, Stats NZ said today. Growth was driven by increases in the service industries but was tempered by falls in the primary sector. More>>


Innovative Partnerships:Govt Launches R&D Programme

Research, Science and Innovation Minister Megan Woods has today formally launched the Innovative Partnership programme which aims to attract future-focused international innovators and firms to undertake R&D and develop their products in New Zealand.... More>>


Planes And Oil: Current Account Deficit Widens To $2.0 Billion

New Zealand's seasonally adjusted current account deficit widened to $2.0 billion in the December 2017 quarter, Stats NZ said today. The $407 million increase in the deficit was mainly driven by New Zealand importing aircraft and other transport equipment, and crude oil. More>>