Reserve Bank of New Zealand Financial Stability Report (FSR)
- says financial system will benefit supporting economic recovery
- says financial system is in a solid position to both weather the significant economic impact caused by the covid-19
- working on a number of initiatives to support the flow of lending and functioning of the financial system
- continuing to work with insurers to see them maintain a strong focus on long-term customer outcomes
- outside of the banking system, some parts of the financial system entered the downturn in a vulnerable position
- says economic stress test analysis suggest banks can continue to lend and prosper through a broad range of adverse scenarios
- says wage subsidies and easier monetary policy have cushioned the near-term financial impact
Little NZD change, the report was not expected to have impact upon the NZ$
