NZ bank profits to stay strong but risks seen, S&P says

Wed, 18 Mar 2015

By Pam Graham March 18 (BusinessDesk) - A resurgence in property prices means LVR 'speed limits' are like to stay in place, Standard & Poor's says in a report that predicts banks will continue to post strong earnings growth while trading in the shadow of a "heightened risk" of a future property crash. "The relatively low level of credit losses over the next two-to-three years will continue, underpinning the strong profitability performance metrics of the New Zealand major banks," the credit rating company says in a New Zealand banking sec...

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