RBNZ creates new Financial Policy Committee to rule over financial stability

RBNZ creates new Financial Policy Committee to rule over financial stability
RBNZ Board deputy chair Rodger Finlay. (Image: NZME)
Rebecca Howard
The Reserve Bank of New Zealand Board will soon have a Financial Policy Committee that will make key policy decisions relating to financial stability.This will include setting the prudential requirements for financial institutions regulated by the Reserve Bank of NZ (RBNZ) and making macro-prudential policy decisions, such as debt-to-income and loan-to-value ratios for lending.  Currently, the full board makes significant policy decisions. In the future, these will be made by the Financial Policy Committee (FPC), taking advantage of the ex...

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