logo
Overseas Investment Decisions Twice As Fast

Overseas Investment Decisions Twice As Fast

Scoop23-06-2025
Associate Minister of Finance
Associate Minister of Finance David Seymour is encouraged to see overseas investment decisions being made twice as fast following his Ministerial directive letter (the letter) to Land Information New Zealand (LINZ).
'Last year I issued a Ministerial directive letter setting out my expectations for faster consent processing timeframes under the Overseas Investment Act (the Act),' Mr Seymour says.
'The letter set my expectation that LINZ, the regulator for the Act, will process 80 per cent of consent applications in half the statutory timeframes for decisions.
'The financial year beginning 1 July 2024 is on track to meet my expectations. So far, LINZ has been processing 88 per cent of consent applications in half the statutory timeframe.
'Since this financial year began, processing times have reduced by 39 per cent faster than the previous financial year. The average timeframe has reduced from 71 working days in the last financial year, to 28 working days this financial year.
'The improvements to processing times are largely owed to the new risk-based approach LINZ take to verifying information and streamlining consent processes. This recognises that the majority of consent applications are low-risk and should be processed more efficiently.
'1 July 2024 to 19 June 2025 saw 122 applications for overseas investment, decreasing from 146 in the financial year prior (both figures exclude 'only home to live in' applications). The decrease is explained by a significant drop in applications for residential land development due to poor property market conditions. I expect these numbers to bounce back with the rise of the property market.
'In order to have a strong growing economy New Zealand needs to be more welcoming to investment. Long waiting times for applications was creating uncertainty and impacting the attractiveness of investing in New Zealand. This affected New Zealand businesses that rely on overseas investment for capital or for liquidity.
'Since delegating most decision-making to LINZ and directing officials to focus on realising the benefits of overseas investment, there has been a significant improvement in processing times.
'Feedback from investors has been overwhelmingly positive, and they have welcomed the changes to make the application process more efficient, while still giving the right level of scrutiny to high-risk transactions.
'LINZ still has the full statutory timeframe to process 20 per cent of consent applications, which will allow them to manage complex and higher-risk applications.
'This week will see the first reading of thee Overseas Investment (National Interest Test and Other Matters) Amendment Bill as well.
'The Bill will consolidate and simplify the screening process for less sensitive assets, introducing a modified national interest test that will enable the regulator to triage low-risk transactions, replacing the existing benefit to New Zealand test and investor test. If a national interest risk is identified, the regulator and relevant Minister will have a range of tools to manage this, including through imposing conditions or blocking the transaction.
The current screening requirements will stay in place for investments in farmland and fishing quota.
'New Zealand has been turning away opportunities for growth for too long. Having one of the most restrictive overseas investment regimes in the OECD means we've paid the price in lost opportunities, lower productivity, and stagnant wages. This Bill is about reversing that.
'For all investments aside from residential land, farmland and fishing quota, decisions must be made in 15 days, unless the application could be contrary to New Zealand's national interest. In contrast, the current timeframe in the Regulations for the benefit test is 70 days, and the average time taken for decisions to be made is 30 days for this test,' says Mr Seymour.
'International investment is critical to ensuring economic growth. It provides access to capital and technology that grows New Zealand businesses, enhances productivity, and supports high paying jobs.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

David Seymour resurrects idea of migrants signing NZ ‘values statement'
David Seymour resurrects idea of migrants signing NZ ‘values statement'

NZ Herald

time2 hours ago

  • NZ Herald

David Seymour resurrects idea of migrants signing NZ ‘values statement'

'These sorts of things are values that we need to stress. If you don't subscribe to that, don't come here,' he said. Asked about immigration concerns on Newstalk ZB this week, Seymour noted that in 2016 he had made the point that 'we should actually have a New Zealand values statement'. 'That's not the Government's policy. But I suspect it should be,' the Act leader said. He said that 'if you want to be part of New Zealand', people should 'sign up to' ideas such as 'men and women are equal', 'someone's sexuality or religion is a private matter', 'we have certain rights before the law' and 'we have free speech'. The Act Party's constitution makes mention of this idea as an example of a policy that reflects its principles. 'Any person seeking New Zealand citizenship or permanent residency should be required to affirm that they subscribe to the democratic and civil rights enunciated in sections 12-18 of the New Zealand Bill of Rights Act 1990.' These sections of the Bill of Rights Act relate to the likes of freedom of peaceful assembly, expression and association. Act's David Seymour has again raised the idea of a New Zealand values statement. Photo / Michael Craig A spokesman for Immigration Minister Erica Stanford said a values statement is not something the minister has raised with officials or been advised on. 'The minister's work programme has been focused on restoring stability and predictability to the immigration system – getting net migration under control, prioritising higher skilled migrants, reducing migrant exploitation, speeding up visa processing, supporting additional foreign investment for New Zealand, and fit for purpose settings across work, study and visitor visas.' Unlike New Zealand, Australia does have a values statement that most temporary, provisional or permanent visa applicants must sign or accept. This includes confirming they understand 'Australian society values', like 'respect for the freedom and dignity of the individual', 'freedom of religion (including the freedom not to follow a particular religion), freedom of speech, and freedom of association', and 'commitment to the rule of law'. The Australian Home Affairs Department says by accepting the statement, migrants are 'undertaking to conduct yourself in accordance with Australian values and to obey Australian laws during your stay in Australia'. In 2016, Peters, who is now in a coalition Government with Seymour, suggested the Act leader was stealing NZ First's policy. 'Being a secretive admirer of New Zealand First is no excuse for plagiarising that party's leader's statements,' the Herald reported Peters as saying at the time. He also described Seymour as a 'toy MP'. Peters said at the time that migrants should be interviewed at the border to ensure they respect New Zealand 'views'. Two years later, then-NZ First MP Clayton Mitchell proposed the Respecting New Zealand Values Bill, which would have required refugees and migrants to sign up to New Zealand values. These were identified as including respect for gender equality, religious freedom and New Zealand law. NZ First leader Winston Peters also believes migrants should subscribe to New Zealand values. Photo / Mark Mitchell While speaking with Newstalk ZB, Seymour also said there were some people who say, 'immigration is terrible, vote for me [and] I will get rid of it'. 'But they don't actually stop immigration when they get into power,' he said. Seymour said he believed the reason for that was because business owners know 'you can't succeed when you only have 5 million people to pick from when your competitors around the world are operating in labour markets of half a billion'. Peters last week told the Herald he was concerned with the number of migrants entering New Zealand and said it remained NZ First's view that immigration shouldn't be 'an excuse for our failure to train, skill and employ our own people'. His comments about the 'alarming development' overseas of 'careless immigration policies transforming cities' received criticism from Opposition parties. Prime Minister Christopher Luxon on Monday said Peters was entitled to have his own views. 'What I am focused on is making sure I advance New Zealand's national interests, economic and security. Immigration will always be on our terms and in the interest of New Zealand,' Luxon said. 'He is entitled as a political party leader to make comments about his observations of other countries. My job as Prime Minister of New Zealand is to say I am focused on making sure we have the right immigration settings for ourselves in order for us to grow our economy.' Jamie Ensor is a political reporter in the NZ Herald press gallery team based at Parliament. He was previously a TV reporter and digital producer in the Newshub press gallery office. In 2025, he was a finalist for Political Journalist of the Year at the Voyager Media Awards.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store