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

 

Fonterra: Canpac Site 'Resize' To Focus More On Paediatrics

Fonterra is looking at realigning its packing operations at Canpac, in the Waikato, to focus more on paediatric nutritionals... The proposed changes could mean around 110 roles may not be required at the site which currently employs 330. More>>

ALSO:

Scoop Business: Postie Plus Brand Gets 2nd Chance With Well-Funded Pepkor

The Postie Plus brand is getting a new lease of life after South Africa’s Pepkor bought the failed retailer’s assets out of administration and said it will use its purchasing power to reduce costs of stock and fatten margins. More>>

ALSO:

Warming: Warming Signs From State Of Climate Report

Climate data from air, land, sea and ice in 2013 'reflect trends of a warming planet' -- says the latest State of the Climate report, launched by U.S. and New Zealand scientists. More>>

ALSO:

Scoop Business: Embrace Falling Home Affordability, Says NZIER

Despair over the inability to afford a house is misplaced and should be embraced as an opportunity to invest in more wealth-creating activity, says the principal economist at the New Zealand Institute of Economic Research, Shamubeel Eaqub. More>>

Productivity Commission: NZ Regulation Not Keeping Pace

New Zealand regulators often have to work with out-of-date legislation, quality checks are under strain, and regulatory workers need better training and development. More>>

ALSO:

Callaghan Innovation: Investment To Help Deepen Innovation Reporting

Callaghan Innovation, the government’s high tech HQ for Kiwi business, is to help deepen New Zealand media coverage of the commercialisation of innovation through an arms-length partnership with independent business news service BusinessDesk. More>>

ALSO:

Tax Credits, Grants: Greens $1Bn R&D Plan

In the Party’s headline economic announcement, the Greens have launched their plan to build a smarter, more innovative economy which has as its centrepiece an additional $1 billion of government investment in research and development (R&D) above current spend, including tax breaks for business. More>>

ALSO:

Inflation: CPI Increases 0.3 Percent In June Quarter

The consumers price index (CPI) rose 0.3 percent in the June 2014 quarter, Statistics New Zealand said today. This follows rises of 0.3 percent the March quarter and 0.1 percent in the December 2013 quarter. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news