Fitch ratings comments come from their "Peer Review: New Zealand Regional Lenders" publication
This is a review of seven New Zealand regional lenders, but does contain some broader comments:
Fitch believes the macro-economic risks in New Zealand remain elevated
- Strong house price growth, particularly in Auckland over the previous few years, has increased risk levels in the system
- New Zealand household indebtedness remains at historically high levels, and the households' ability to service their loans is susceptible to increases in interest rates and unemployment
Not an unreasonable assessment, and risks to be aware of. They have been previously noted so nothing new here.
