Registered banks will begin reporting under a new Reserve Bank financial disclosure regime.With 19 banks registered in New Zealand, the central bank reviewed bank disclosure policy, issuing a consultation paper in August.Deputy Governor Grant Spencer toda
Registered banks will begin reporting under a new Reserve Bank financial disclosure regime.
With 19 banks registered in New Zealand, the central bank reviewed bank disclosure policy, issuing a consultation paper in August.
Deputy Governor Grant Spencer today said the revamp in disclosure requirements will significantly reduce banks' compliance costs, while at the same time creating more manageable disclosure documents that are better aligned with the needs of investors and analysts.
The changes are the first major overhaul since the regime was set up in 1996.
Main changes are:
* Dropping the quarterly key information summary and supplemental disclosure statement;
* introducing a single quarterly disclosure document for savvy readers;
* chopping the size of the half-year disclosure document by basing it on interim rather than full-year accounting standards;
* and further rationalisation of information across all time periods.
Mr Spencer said "the result will be a regime that produces better, more accessible information for users at lower cost to the banks."
Currently, banks are required to publish a quarterly disclosure statement, which includes a brief key information summary, a larger general disclosure statement, and a supplemental disclosure statement.
Subject to the Orders in Council process required to bring these changes into effect, the first disclosure statements under the new regime will be for reporting periods ending on March 31 next year.
