Latest news with #TePūteaMatua
Scoop
a day ago
- Business
- Scoop
RBNZ Releases Statement Of Performance Expectations (SPE)
The Reserve Bank of New Zealand – Te Pūtea Matua has released its SPE for 2025/26, outlining what it intends to achieve to enable economic wellbeing and prosperity for all New Zealanders and how it will measure its performance. The performance measures are grouped into four output classes that tie back to its legislated objectives and functions. The RBNZ regularly reviews the way it assesses and reports performance every six months to its monitoring agency - the Treasury Te Tai Ōhanga on progress against the SPE and the 2024-2028 Statement of Intent. Notes: Statement of Performance Expectations (SPE) 2025/26 - Reserve Bank of New Zealand - Te Pūtea Matua: Our Statement of Intent 2024 - 2028:
Scoop
25-06-2025
- Business
- Scoop
Snapshot Highlights Banks' Efforts To Reduce Unnecessary Barriers For Māori
The Reserve Bank of New Zealand – Te Pūtea Matua has published a primarily qualitative snapshot that offers a comparison of how banks are working to remove unnecessary barriers to Māori Access to Capital (MA2K). The Māori contribution to the New Zealand economy has grown to $32 billion (production GDP) in 2023. However, Māori businesses are more likely to face capital access challenges due to common factors like being younger, smaller, or more rural, as well as specific issues such as lending on whenua Māori and lower trust or awareness with the banking system. Acting Assistant Governor Financial Stability, Angus McGregor says that the snapshot will improve data and understanding across the Aotearoa banking system. 'The measures in the snapshot show the steps some banks are taking to remove unnecessary barriers for Māori, helping to lift the entire sector in supporting MA2K and financial inclusion more broadly,' says Mr McGregor. Findings from the snapshot show that participating banks who volunteered to collaborate on this project, have introduced Māori-focused roles and strategies, supported by organisation-wide training to strengthen understanding of te reo, tikanga, and the Māori economy. The snapshot findings also suggests that banks recognise the value of Māori leadership and customer understanding and have products to support lending on whenua Māori. Some banks have initiatives specifically supporting Māori businesses and offer financial literacy programmes that incorporate te reo and/or tikanga. Māori employee representation varies between banks, with an average of 8% across all banks. However, there remains plenty of work to be done to continue to reduce any unnecessary barriers for Māori and we encourage banks to improve their data relating to Māori access to capital and enhance their practices around Māori business identification. Improved data on MA2K is an important step in tracking progress of the banking sector and builds on the momentum developed by the sector's actions. 'This work is in line with the 2025 Letter of Expectations from the Minister of Finance for the Reserve Bank to continue its collaboration with industry stakeholders to pursue competition-enhancing initiatives, including reducing barriers to lending for housing on Māori freehold land,' says Governor Christian Hawkesby. This snapshot was developed in collaboration with Tāwhia the Māori Bankers Rōpū and continues the 2022 MA2K work programme as part of our broader te ao Māori and financial inclusion workstreams. Impact requires a whole of sector approach, so we furthermore welcome the opportunity to work with other organisations to support this ongoing work programme.
Scoop
15-06-2025
- Business
- Scoop
Monetary Policy Affects Some Parts Of The Economy Differently: RBNZ Analytical Note
Some parts of the economy and prices for some products are more sensitive to a rise in the Official Cash Rate (OCR) than others. Reserve Bank of New Zealand – Te Pūtea Matua research found that sectors that make or trade goods, as well as housing and real estate related sectors are among the most sensitive to changes in the Official Cash Rate. 'When the OCR increases, these sectors tend to cool more quickly. On the other hand, sectors like primary production including dairy and meat, are less sensitive,' the Analytical Note authors say. The research also looked at how monetary policy affects prices across a wide range of domestic goods and services, which do not face as much foreign competition as internationally traded goods. 'We found that prices for accommodation are quite sensitive. So, when the OCR increases, it puts downward pressure on the cost of going on holiday or business,' the authors say. An OCR increase also has a strong impact on the cost of building a home. This means when the OCR increases, there is relatively more downward pressure on these costs than for prices of other domestic goods and services in the economy. Some services, like household power prices and insurance, are slower to respond to increases in the OCR. We carried out this research because identifying which parts of the economy are relatively more sensitive to monetary policy allows us to better understand how various parts of the economy may react when interest rates change. It also means we can see more clearly if past policy decisions are working through to the economy as expected. Key findings: We investigate the sensitivity of output and prices to monetary policy at a disaggregated level, focusing on GDP sectors and CPI non-tradables subgroups in New Zealand. Identifying which parts of the economy are relatively more responsive to monetary policy allows us to better understand how various parts of the economy may evolve in response to policy decisions and to better assess whether past policy decisions are transmitting to the economy as expected. For GDP, we find that goods-producing and goods-trading sectors are the most sensitive to monetary policy, while primary production and public services are the least sensitive. For CPI non-tradables inflation, we find subgroups such as housing construction costs and accommodation services are more sensitive to monetary policy, while subgroups such as energy and insurance are less sensitive. The small sample size leads to greater variation in estimated effects across model variations. As such, this analysis aims to serve as a starting point for further work in this area.
Scoop
12-06-2025
- Business
- Scoop
Statement from RBNZ chair Neil Quigley about OIAs on Adrian Orr's resignation
'RBNZ was late in producing a response to some of the OIAs we received on Adrian Orr's resignation. I regret that this delay occurred,' Reserve Bank of New Zealand – Te Pūtea Matua Chair Neil Quigley says. 'The circumstances and the volume of information associated with the OIAs on Adrian Orr's resignation were complex, and we needed to be sure that our consideration of relevant information was comprehensive. "As well as our obligations under the Official Information Act, we needed to take into careful consideration the former Governor's exit agreement and privacy law. For this reason, we extended consultation on the information and our response, including review by senior external counsel,' he said. 'On 5 March I was limited in what I could say about the former Governor's resignation both by the terms of his exit agreement and the fact that we were still working through finalisation of the detail of the next Five-Year Funding Agreement (FYFA). 'We were conscious of the need to explain to staff of the RBNZ the potential implications for staffing levels of a lower level of funding and needed time to consider the details of that. 'We are taking into account the feedback that we have received on our management of these OIA requests and looking carefully at how we can improve our response times in the future," Mr Quigley said.
RNZ News
05-06-2025
- Business
- RNZ News
Wide Reserve Bank restructure to follow executive and funding changes
The Reserve Bank has already been restructuring its executive team, with a number of its higher ups departing, and the latest news of a wider restructure comes after a major funding cut. Photo: RNZ / Samuel Rillstone A broad restructuring is on the cards at the Reserve Bank, less than two months after the government announced it would cut its budget . RBNZ said it would consult with staff about potential "broader organisational changes" later this month, but refused to provide additional details. RNZ understands certain backroom functions were being reviewed, as the central bank faced a 25 percent cut to its budget in the new financial year. It comes amid a restructure of its executive leadership team, with the departure of another assistant governor. It said Sarah Owen had left the RBNZ, following the earlier departures of Kate Kolich, Greg Smith, Nigel Prince and Simone Robbers. In May, the RBNZ said it would halve its executive leadership (excluding the governor) to four. After slimming down the executive, it said the leadership team below the executive also faced changes. The new leadership structure would come into place from 16 June, and would be made up of 20 director roles under four groups - financial stability, money, enterprise services and operations. "This is a critical time for Te Pūtea Matua (RBNZ), and the changes we're making are more than just structural," governor Christian Hawkesby said. "We want to ensure that we're match-fit for the changing environment and context we're operating in," he said. However, the RBNZ was tight-lipped about the broader organisational restructure. "We will soon be going into consultation with our staff as part of this next phase," a spokesperson said. "Out of care for our people, we have no further details to share externally at this time." The RBNZ has faced a period of uncertainty in recent months, with the reduction in government funding arriving after the abrupt departure of former governor Adrian Orr. It has previously faced criticism over a sharp increase in staff numbers, with the number of full-time equivalent employees increasing from 255 in 2018 to 641 in September 2024. Sign up for Ngā Pitopito Kōrero, a daily newsletter curated by our editors and delivered straight to your inbox every weekday.
