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Todd Stephenson: Finance and Expenditure committee member says barriers need to be lowered for foreign banks · Best of Business

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  Speaker 1: You're listening to a podcast from News Talks'd be follow
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  Speaker 2: Parliament's Banking Inquiry has finally released its report. There's no
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  Speaker 2: silver bullet in it. Recommendations include things already underway, including
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  Speaker 2: the capitalization of Kiwi Bank, but also banks being more
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  Speaker 2: transparent with Farmers AX Finance spokesperson Todd Stevenson was on
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  Speaker 2: the committee.
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  Speaker 3: Hey Todd, Hi, he how are you.
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  Speaker 2: I'm well, thanks mate. Now none of this is actually
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  Speaker 2: going to massively change the game competition wise, is it.
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  Speaker 3: Look No, as you said, there's no silver bullet. I
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  Speaker 3: never we never really thought nackted there would be. But look,
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  Speaker 3: there are some things that do need to be addressed.
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  Speaker 3: And look, I think the bank inquiries had some success already, Heather.
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  Speaker 3: You mentioned Reserve Banks already looking at its capital requirements.
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  Speaker 3: They announced that during this inquiry, which I think is
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  Speaker 3: quite interesting. I think they could see what was said.
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  Speaker 2: Come on now. That was because Nikola was giving them
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  Speaker 2: the hard word in the meetings.
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  Speaker 3: Ah. Look, no, people were turning up at the Select
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  Speaker 3: Committee saying it was a real problem, and I think
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  Speaker 3: they saw where it was going to hit you. I
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  Speaker 3: mean the other one too is open banking, with some
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  Speaker 3: progress has been made on that too during thek of
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  Speaker 3: course the inquiry.
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  Speaker 2: Why do you say that there is no solvable do
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  Speaker 2: you think do you enact think there is no competition problem.
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  Speaker 3: No, there's definitely a competition problem. I agree with that.
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  Speaker 3: It's just that you've got to do a number of
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  Speaker 3: things to actually increase that competition. And you mentioned rural banking.
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  Speaker 3: I mean, well, I think looking at the capital requirements
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  Speaker 3: and making sure that they are appropriate and we can
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  Speaker 3: actually get new players into New Zealand, whether they're local
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  Speaker 3: or overseas. That's definitely an area that needs focus, and
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  Speaker 3: that's around capital requirements, around the other rules, and just
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  Speaker 3: making sure it's actually easier to enter the New Zealand market.
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  Speaker 2: Yeah, do you reckon Farmer are going to be stoked
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  Speaker 2: with your recommendations. I think they might be.
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  Speaker 3: Look, you know, my colleague Mark Cameron was relentless at
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  Speaker 3: questioning what was going on around particularly rural lending. Some
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  Speaker 3: things obviously have come out about the different kind of
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  Speaker 3: risks and interest rates that rural customers are forced to
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  Speaker 3: kind of deal with. And so yeah, I think we're
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  Speaker 3: going to see some progress there, Todd.
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  Speaker 2: Thanks for your time, mate, Todd Stevenson, Member of the
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  Speaker 2: Finance and Expenditure Committee.
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