Author: Philip vanDyk

“International money transfers made from a banking app or by internet banking usually include a fee to cover other overseas bank costs. And there will also be an exchange rate conversion fee if sending money in a currency other than New Zealand dollars.”

The Federated Farmers press release has NZBA CEO Roger Beaumont saying NZBA analysis shows the Reserve Bank’s proposal to “almost double” capital requirements will have a net cost to the New Zealand economy of $1.8 billion a year.

New Zealand Bankers’ Association chief executive Roger Beaumont, who is pleased to see most farmers remain satisfied with their bank, said he expects RBNZ’s capital requirements proposal to a net cost to the New Zealand economy of $1.8 billion a year.

Federated Farmers cited the NZ Bankers’ Association’s estimate that the Reserve Bank’s proposals would cost the economy $1.8 billion.

NZBA has denied suggesting that the government should ever bail out the banks, saying that instead an independent report merely speculated that in the event of a bank failure, a government would be reluctant to allow customers to take a haircut on their deposits.

The New Zealand Bankers’ Association and the Banking Ombudsman agree with the Reserve Bank that disclosure of banks’ breaches of their conditions of registration should be limited to “material” breaches only.

The industry supports a farm debt mediation to codify many of these processes and provide clarity and an alternative support option for farmers.

In response to Orr’s comments an NZBA spokesman said the lobby group’s submission did not suggest the government should pay out in the event of a bank failure.