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

 


Regulation of financial services promotes greater choice

Regulation of financial services promotes greater choice and boosts productivity


The Financial Markets Authority (FMA) CEO Rob Everett has called on business to support New Zealand’s new regulatory regime - in financial services and in business generally - so that New Zealand enjoys more sustained, stronger economic growth.

Mr Everett told Trans-Tasman business leaders, at a session in Auckland today, that the New Zealand economy was recovering steadily from the post-GFC recession. He also noted the important role the regulator plays in contributing to the government’s priorities to build a more productive economy.

The FMA’s role in the growth agenda is to help promote fair, efficient and transparent markets and encourage informed participation in the markets. “Where people have confidence in the markets and trust in the conduct of finance industry professionals they are far more likely to participate and invest in productive assets,” said Mr Everett.

But he urged businesses not to forget the lessons of the pre-2008 boom in New Zealand, including the collapse of the so-called finance companies and the losses suffered by individual investors and the economy. These losses – among other factors - demanded a major overhaul of the legislation governing financial markets and service providers.

He said many of the provisions in the newly-revised and comprehensive regulatory regime - including the Financial Markets Conduct Act 2013 – were designed to ensure the benefits of an improving economy were directed into more productive uses.

“The FMA is not only tasked with monitoring compliance, enforcing rules and punishing wrongdoing, we have a big job in helping to expand New Zealand capital markets.”

Mr Everett said he didn’t accept arguments that regulation necessarily reduced productivity or profitability.

“The regulations that are coming into effect throughout 2014 are designed to promote greater protection for investors and consumers, and also to provide greater choice and opportunity for investors and businesses. We want to work together with the industry and businesses to help rebalance the economy in favour of productive investments and commercial enterprise.”

Full Speech available here

Ends

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Reserve Bank: Wheeler Keeps OCR At 1.75%

Reserve Bank governor Graeme Wheeler kept the official cash rate unchanged at 1.75 percent, as expected, and reiterated his view that the benchmark rate doesn't need shifting for the foreseeable future. More>>

ALSO:

Retail: Pumpkin Patch Brand, IP Sold To Catch Group

The receivers of failed children's clothing retailer Pumpkin Patch have confirmed that the company's brand and intellectual property have been sold to Australian online retailer Catch Group. More>>

ALSO:

Oil: 2017 Block Offer Petroleum Tender Launched

New Zealand is well-placed to take advantage of the economic benefits of oil and gas exploration, Energy and Resources Minister Judith Collins announced today at the launch of the 2017 Block Offer petroleum tender. More>>

ALSO:

OECD And Zero Carbon Reports: Environmental Pressures Rising In New Zealand

New Zealanders enjoy a high environmental quality of life and access to pristine wilderness. However, New Zealand’s growth model, based largely on exploiting natural resources, is starting to show its environmental limits with increasing greenhouse gas emissions and water pollution ... More>>

ALSO:

Statistics: Record Net Annual Migration Levels Continue

In the February 2017 year, 71,300 more migrants arrived in New Zealand than left, Stats NZ said today. This equalled the previous annual record set in January 2017. More>>

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news