Tag Archives: Reserve Bank

JPMorgan’s NZ branch gets formal warning from central bank over lack of risk assessment plan in 2013

JPMorgan Chase Bank’s New Zealand branch have been given a formal warning by the Reserve Bank for a four-month period in 2013 when it didn’t have appropriate risk assessment measures in place to meet anti-money laundering legislation. The central bank today issued a formal warning to the JPMorgan branch, saying it “has reasonable grounds to believe that for a period of approximately four …

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Greenback slips to third in NZ’s expanded TWI, yuan at second

The US dollar’s weighting has slipped in the Reserve Bank of New Zealand’s new trade-weighted index, which adds the Chinese yuan to a line-up of 17 currencies skewed to Asia and intended to more accurately reflect New Zealand’s modern trade profile. The expanded TWI represents the biggest overhaul of the currency basket since it was introduced in the 1970s  as …

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Beijing has allegedly corrupt NZ-resident Chinese in its sights

The Chinese government has its eye on an unknown number of New Zealand-resident Chinese citizens who are thought to have established themselves here with funds obtained through corrupt practices, the Prime Minister, John Key, says.  The issue came up in talks between Key and the Chinese president, Xi Xinping, during his three-day state visit to New Zealand last month and …

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NZ economy grows 0.7% in 2Q as surging services make up for weak primary sector

New Zealand’s economy grew just ahead of expectations in the second three months of the year as the fastest growth in the services sector for seven-and-a-half years offset shrinking activity in the primary sector when global commodity prices were coming of highs. Gross domestic product expanded 0.7 percent in the three months ended June 30, ahead of the 0.6 percent …

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Weaker kiwi probably not a game changer for RBNZ yet

The kiwi dollar is holding below levels the Reserve Bank is forecasting for the third quarter though that’s unlikely to be enough to change its view of the interest rate outlook this week. The central bank will keep the official cash rate at 2.5 percent on Thursday, according to a Reuters survey of 16 economists. The bank will hike the …

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New Zealand property values rise at a 7.6 percent annual pace in June

New Zealand property values rose at a 7.6 percent annual pace last month, as demand continued to outstrip supply in Auckland and Christchurch, according to state valuer Quotable Value. Property values stepped up the pace from last month when they increased at a 7.1 percent annual rate, also driven by demand in Auckland and Christchurch. Values increased 2.8 percent in …

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Higher interest rates not the right answer for housing bubble, RBNZ’s Spencer says

The Reserve Bank says raising interest rates now isn’t the right policy response to an overheated housing market and the bank considers restricting low equity home loans as offering the “greatest potential” to curb demand. Deputy governor Grant Spencer told the Business NZ Council in Wellington that the “overheated housing market is a real threat to future financial stability” and …

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NZ dollar, down 6.1 percent since last RBNZ meeting, little changed before MPS

The New Zealand dollar was little changed in local trading as investors await Reserve Bank governor Graeme Wheeler’s response to a 6.1 percent slide in the currency against the greenback since his last review. The kiwi traded at 78.76 US cents at 5pm in Wellington from 78.65 cents at 8am and 78.80 cents yesterday. The trade-weighted index fell to 73.45 …

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