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

 

XE Data Update - RBNZ Financial Stability Report


The RBNZ has just released its Financial Stability Report.

The key points in report are:

RBNZ says elevated financial vulnerabilities warrant more effort to ensure the system remains resilient over the longer-term

Decides to leave LVR (loan-to-value ratio) restrictions at current level
Strong bank capital buffers are key to enabling banks to absorb losses

Recent reviews of banks and life insurers, number of breaches reinforces need to institutions to improve behaviour

Will be taking a more intensive approach, which will involve greater scrutiny of institutions’ compliance

Some life insurers have low solvency buffers over minimum requirements

Need for insurers to maintain strong buffers, and insurer solvency requirements to be reviewed.

Risk of large housing losses has reduced somewhat over the past 3 years

Significant share of the dairy sector remains financially vulnerable

A negative OCR (official cash rate) is not currently a central scenario in our published forecasts

Considering the potential impacts of unconventional monetary policy tools on bank profitability

The NZD is little changed in immediate response.

Current indicative levels are:

NZD-USD 0.6415 / 0.6440
NZD-AUD 0.9455 / 0.9480
NZD-EUR 0.5820 / 0.5845
NZD-GBP 0.4985 / 0.5010
NZD-JPY 69.95 / 70.20

ends

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Reserve Bank: RBNZ To Implement $30bn Large Scale Asset Purchase Programme Of NZ Govt Bonds

The Monetary Policy Committee (MPC) has decided to implement a Large Scale Asset Purchase programme (LSAP) of New Zealand government bonds. The negative economic implications of the coronavirus outbreak have continued to intensify. The Committee ... More>>

ALSO:

Elevate NZ: Venture Fund To Lift Productivity

The Government’s new $300 million venture capital fund - announced in last year’s Budget – is now open for business as the Elevate NZ Venture Fund. Finance Minister Grant Robertson says lifting New Zealand's productivity requires well-functioning ... More>>

ALSO:


COVID-19: Case Confirmed In NZ – Expert Reaction

After spreading across the globe for months, the first case of COVID-19 has been reported in New Zealand. The Ministry of Health says the risk of a community outbreak is low, due to their preparedness and the high awareness of the disease. The Science ... More>>

ALSO:

Agriculture: New Legislation To Boost Organics

New organics legislation will boost consumer confidence and help grow an innovative sector, says Food Safety Minister Damien O’Connor. “The Organics Product Bill, introduced to Parliament this week, aims to increase consumer confidence when purchasing ... More>>

ALSO:

Biodiversity Policy: Misinformation Circulating

Forest & Bird is concerned at misinformation circulating regarding a policy statement aimed at protecting New Zealand’s unique biodiversity. The National Policy Statement for Indigenous Biodiversity is being consulted on by the ... More>>

ALSO: