For example, banks are seldom encouraged to implement a write-off policy because of either country-related external impediments such as legal and tax issues, or idiosyncratic impediments linked to institutions’ governance. Tax deductibility of losses arising from write-offs is, in many countries, bound by strict constraints aimed at ensuring the definitive extinction of all legal claims against the debtor.
BIS Review 11/2007  7  Figure 8: Equity market capitalisation as a % of GDP (2006)  Source: IMF  Is New Zealand well serviced by the financial product offering? New Zealand’s financial product range, and the way the products are used, raises some questions about its soundness and efficiency.