“Our banks know that some farmers are doing it tough in the current economic environment, so it made sense to fill the funding gap for the Farm Business Advice Fund, and to renew the annual sponsorship arrangement for the Rural Support Trust,” Beaumont said.

Banks are stepping up to fully fund the Farm Business Advice Fund for farmers who are under considerable business pressure, as well as continuing their sponsorship of the National Rural Support Trust.

The Farm Business Advice Fund was established in 2020 to provide up to $6,000 for farmers in need to obtain financial or business advice from an independent consultant. The fund is managed by the National Rural Support Trust.

The government, via the Ministry for Primary Industries (MPI), previously met half of the fund’s costs with the farmer’s relevant bank providing the other half. However, in December last year MPI made the decision to discontinue its funding. ANZ, ASB, BNZ, and Westpac are now stepping up to fully meet the fund’s costs.

Rabobank has confirmed it will continue with its original sponsorship of the Farm Business Advice Fund.

All five banks have also agreed to continue to provide the National Rural Support Trust with total sponsorship of $150,000 (plus GST) a year. The current funding agreement ends in November this year and will be rolled over for another three years.

National Rural Support Trust Chair Michelle Ruddell says: “Our struggling farmers and growers are going to directly benefit from the continuation of the Business Advice Fund. Thank you to the banks for recognising the importance of the Business Advice Fund, stepping up to fully fund it, and their continued sponsorship of Rural Support Trust.”

New Zealand Banking Association chief executive Roger Beaumont says: “Our banks know that some farmers are doing it tough in the current economic environment, so it made sense to fill the funding gap for the Farm Business Advice Fund, and to renew the annual sponsorship arrangement for the Rural Support Trust.”

For more information about the Farm Business Advice Fund, see https://www.nzba.org.nz/2020/02/25/new-fund-to-get-advice-for-struggling-farmers-is-now-open/.

ENDS

Earlier this year, NZ Banking Association chief executive Roger Beaumont urged telcos and social media platforms to take down fake websites.

Banks alone could not protect New Zealanders from scams and had asked the government for help, involving from police and other agencies, New Zealand Banking Association chief executive Roger Beaumont said.

Economic Development, Science and Innovation Commiteee (more…)

He said that one of the key changes is that the “draconian” personal liability legislation for managers and banks will be removed.

Financial Markets Authority (more…)

“We’d encourage anyone experiencing financial difficulty to talk to their bank as soon as possible. The sooner you talk to your bank, the better placed they’ll be to assess your particular circumstances and discuss options to try to find a way through.”

“We will assess which initiatives could involve an industry approach and which ones banks will need to address individually.”

Chief executive Roger Beaumont praised the report: “The Commission has taken a well-informed and considered approach to the market study, which has provided useful insights into the New Zealand banking sector. We’re particularly pleased to see the Commission’s focus on the regulatory environment in which our banks operate … We support quality regulation that makes banking easier for consumers.”