Minimum standards need to be applied to avoid risks to financial stability and the reputation of New Zealand’s financial system. Our guiding philosophy is: “same business, same risks, same rules”.
It should be recognized as a turning point for the reform of banks' management, which is free from the protection of the government. In this regard, banks must have clear business strategies for strengthening their profitability. At the same time, banks must have capital bases that are sufficient relative to the risks associated with their new business model.