Deputy Governor Geoff Bascand announced, "We...>

RBNZ: Deputy Governor Geoff Bascand announced, "We have extended the public

submission date to May 17 for views on our proposal to increase minimum capital

requirements for banks. The consultation process on this matter will now extend

to approximately five months." "The Reserve Bank's proposed bank capital changes

aim to make bank failures less likely and ensure that bank shareholders have a

bigger stake in their bank, so they absorb a greater share of losses their bank

might face. This is our fourth consultation on the matter," Mr Bascand said. "We

have received 42 submissions to date and are aware that many banks and

organisations are on target for our initial May 3 submission date. We welcome

this timeliness. A small number of banks and interested organisations have

requested more time, which we also understand." "Given the importance of the

issue we want to ensure everyone has an opportunity to deliver a well-considered

submission. We remain open to information sharing so as to best make informed

decisions," Mr Bascand said. Submissions will be made public after consultation

closes. Final decisions are expected to be communicated in the third quarter of

2019.