Karen Scott-Howman, chief executive of the New Zealand Bankers’ Association, says the banks in New Zealand are really concerned about the crisis management between Australia and New Zealand.
This refers to the demand by the Reserve Bank of New Zealand that banks domiciled in New Zealand have separate computer back-up in place in case their parent banks, most of which are in Australia, should suffer a crisis. The estimated cost of this is between $NZ800 million and $NZ1 billion.