Preparation for increasing regulatory capital requirements sees major New Zealand banks' combined dividends drop in 2019 as funding costs remain low by historic standards

Preparation for increasing regulatory capital requirements sees major New Zealand banks' combined dividends drop in 2019 as funding costs remain low by historic standards
Big bank dividends fell as ANZ NZ retained earnings to build up capital.

*This article was published in our email for paying subscribers. See here for more details and how to subscribe.


We welcome your comments below. If you are not already registered, please register to comment.

Remember we welcome robust, respectful and insightful debate. We don't welcome abusive or defamatory comments and will de-register those repeatedly making such comments. Our current comment policy is here.

2 Comments

Well its going to be interesting to see how much less the IRD earns in tax from a reduced dividend payout , and the requirement to hold more capital

They can't increase rates because folks are mortgaged to the proverbials. Neither can they decrease rates to gouge savers because they would lose business. Therefore the extra coverage must come out of profits. I rest my case.