New Zealand central bank finalises bank capital rules

[SYDNEY] The Reserve Bank of New Zealand (RBNZ) on Thursday finalised the capital adequacy requirements for banks, increasing the amount of capital banks must have with them, in a move it said would make the country's banking system safer.

"The regulatory framework for capital is now more up to date, logical and transparent. Banks will find it easier to understand our expectations and comply with them," RBNZ Deputy Governor Geoff Bascand said in a statement.

Increases in capital will be phased in over a seven-year period from July 2022, Mr Bascand said.

REUTERS