Title
[Repealed]
1 Short Title and commencement
1A Purpose
2 Interpretation
3 Interpretation of provisions relating to false or misleading information
4 Act to bind the Crown
Part 1
Constitution of Reserve Bank of New Zealand
5 Reserve Bank of New Zealand
6 Branches and agencies
Part 2
Functions and powers of Reserve Bank
Central bank
7 Bank to act as central bank
Monetary policy
8 Primary function of Bank
9 Policy targets
10 Formulation and implementation of monetary policy
11 Governor to ensure policy targets followed
12 Bank may be directed to formulate and implement monetary policy for different economic objective
13 Bank's primary function not affected
14 Advice concerning effects of monetary policy
15 Policy statements
Foreign exchange
16 Dealing in foreign exchange by Bank
17 Power of Minister to direct Bank to deal in foreign exchange within guidelines
18 Power of Minister to fix exchange rates for foreign exchange dealing by Bank
19 Effect of directions on policy targets
20 Effect of directions on monetary policy
21 Foreign exchange gains and losses
22 Temporary suspension of foreign exchange business
23 Bank to advise Minister on foreign exchange matters
24 Foreign reserves
Currency
25 Issue of currency by Bank
26 Power of Bank to call in currency
27 Legal tender
28 Defacing bank notes
29 Making or issuing of other bank notes or coins
30 Reproduction or imitation of currency
Other functions and powers
31 Bank to act as lender of last resort
32 Bank may provide settlement account services
33 Policy advice
34 Government banking business
35 Securities registry services
36 Bank may require financial institution to supply information
37 Failure to supply information
38 Requirement that information be audited
39 Powers
Part 3
Management of Reserve Bank
Governor and Deputy Governor
40 Governor
41 Duties of Governor
42 Conditions of employment of Governor
43 Deputy Governor
44 Conditions of employment of Deputy Governor
45 Removal of Deputy Governor from office
46 Disqualification of Governor and Deputy Governor
47 Incapacity of Governor and Deputy Chief Executive
48 Vacancy in office of Governor
49 Removal of Governor from office
50 Removal of Deputy Governor from office by Order in Council
51 Delegation
Board of directors
52 Board of directors
53 Duties of Board
53A Board must prepare annual report
54 Membership of Board
55 Term of office of non-executive directors
56 Considerations affecting appointment of non-executive directors
57 Extraordinary vacancies
58 Disqualification of non-executive directors
59 Removal from office of non-executive directors
59A Chairperson of Board
60 Meetings of Board
60A Teleconference meeting
60B Directors to be notified of meetings
60C Who presides at meetings of Board
61 Directors to disclose interests
62 Committees
63 Fees and expenses of non-executive directors
Part 4
Use of words ‘bank’, ‘banker’, and ‘banking’
Limit on use of restricted words in name or title
64 Limit on use of restricted words in name or title
65 Bank may authorise use of restricted words in name or title
66 Certain persons exempt from application of section 64
66A Application of Companies Act 1993
Limit on use of restricted words in advertisement
66B Limit on use of restricted words in advertisement
Powers of Bank in relation to use of restricted words
66C Power to obtain information
66D Power to require change of name, etc
66E Power to appoint person to enter and search premises
66F Requirements on entering and searching premises
66G Confidentiality of information or documents
66H Limits on further disclosure of information or documents published or disclosed under section 66G
66I Procedure for obtaining warrants
66J Effect of warrant [Repealed]
66K Effect of proceedings
66L Effect of final decision that exercise of powers under section 66E unlawful
Penalty for offences against this Part
66M Penalty for offences
Part 5
Registration of banks and prudential supervision of registered banks
67A Interpretation in this Part
67 Registration and prudential supervision
68 Exercise of powers under this Part
68A Trans-Tasman co-operation
68B Bank to have regard to directions about government policy objectives
Registration of banks
69 Register
70 Application for registration
71 Voluntary removal of name from register
72 Offence for person who is not registered bank to hold itself out to be registered bank
73 Determination of applications
73A Further matters to which Bank must have regard if applicant is overseas person
73B Further matters to which Bank must have regard if applicant is subsidiary of overseas person
74 Conditions of registration
75 Publication of principles
76 Registration of certain persons
77 Cancellation of registration
77A Changes of ownership
77B Effect of section 77A on contracts, etc
78 Carrying on business in prudent manner
79 Annual fee [Repealed]
80 Credit rating of registered banks
Financial disclosure by registered banks
81 Public disclosure of information or data by registered banks
81AA Further matters that maybe prescribed
81AB Disclosure statement not required to include information or data about customers or clients of registered banks
81AC Duty to supply information or data to registered bank
81A Bank to consult
82 Disclosure statements must be signed
83 Bank may require disclosure statement to be corrected
Advertising by registered banks
[Repealed]
84 Interpretation [Repealed]
85 Content of advertisements by registered banks [Repealed]
86 Regulations [Repealed]
87 Offence to advertise in contravention of regulations [Repealed]
88 Bank may prohibit advertisements by registered banks [Repealed]
Provisions applying to disclosure statements
89 Offence to fail to publish required information in disclosure statement
89A Offence to publish false or misleading disclosure statements
89B Offence to fail to make most recent disclosure statement publicly available
89C Other offences in relation to disclosure statements
90 Civil liability
91 Defences
92 Fair Trading Act 1986 not affected
Supply of information
93 Supply of information by registered banks for purposes of prudential supervision
93A Scope of notice under section 93
93B Certain persons may be required to supply information to registered banks
93C Supply of information by other persons for purposes of prudential supervision
94 Requirement that information, data, or forecasts be audited
95 Bank may require report relating to registered banks, etc
95A Bank may require report under section 95 to be published
96 Disclosure of information to Bank by auditors
97 Auditor to inform of intention to disclose
98 Protection of auditors
Access to information by home country supervisor
98A Access to information by home country supervisor
98B Duties of person on receipt of notice under section 98A
Powers to obtain information and documents
99 Powers to obtain information and documents
100 Requirements on entering and searching premises
Investigations
101 Investigation of affairs of registered bank
102 Powers of person appointed to carry out investigation
103 Offences in relation to investigations
104 Requirements to be complied with by person carrying out investigation
Miscellaneous provisions
105 Confidentiality of information
106 Procedure for obtaining warrants
107 Effect of warrant
108 Effect of proceedings
109 Effect of final decision that exercise of powers under section 99 unlawful
110 Effect of final decision that exercise of powers under section 101 or section 102 unlawful
Reserve Bank may give directions
111 Bank may require registered bank to consult [Repealed]
112 Bank may give advice and assistance [Repealed]
113 Bank may give directions
113A Scope of directions
113B Power to remove, replace, or appoint directors
114 Offence to contravene directions
115 Offence to disclose giving of direction
116 Miscellaneous provisions with respect to directions and dispositions
Statutory management of registered banks
117 Statutory management of registered banks and associated persons
118 Grounds on which registered bank may be declared to be subject to statutory management
119 Advisory committee
120 Statutory manager to comply with directions of Bank
121 Considerations affecting exercise of powers by statutory manager
121A Statutory manager to avoid actions likely to have detrimental effect
122 Moratorium
123 Statutory manager may incorporate company under Companies Act 1993 to acquire business of branch of foreign institution
124 Vesting of property subject to security
125 Proof of vesting
126 Prohibition against removal of assets
127 Statutory manager may suspend payment of money owing
128 Management of registered bank to vest in statutory manager
129 Powers of statutory manager
130 Statutory manager empowered to carry on business of registered bank
131 Statutory manager may pay creditors and compromise claims
132 Sale of registered bank
133 Consents not required under other Acts
134 Sale of property or assets subject to a security
135 Proof of transactions
136 Liquidation of registered banks
137 Provisions applying where liabilities included in sale
138 Power to trace property improperly disposed of
139 Application of certain provisions of Companies Act 1993
Miscellaneous provisions
140 Application of this Part to joint statutory managers, associated persons, and subsidiaries
141 Termination of appointment of statutory manager
142 Statutory manager may apply to High Court for directions
143 Prior winding up, liquidation, or receivership to cease
143A Continuation of statutory management
144 Termination of statutory management
145 Obligations incurred by statutory manager
146 Indemnity [Repealed]
147 Registered bank not entitled to be informed about exercise of powers
148 Expenses of statutory management
149 Advances to statutory manager and members of advisory committee
150 Duty to deliver books and property to statutory manager
151 Offence to destroy, alter, or conceal records
152 Regulations relating to powers of Bank and statutory manager
153 Application of other Acts
154 Appointment of auditors
155 Annual accounts
156 Annual report by statutory manager
Penalties for offences against this Part
156AA Penalty for miscellaneous offences
156AB Penalty for offences relating to supply of information, etc
156AC Penalty for offences relating to registration of banks, disclosure statements, prudential supervision of registered banks, etc
Part 5A
Retention of documents by banks
156A Retention of documents by banks
Part 5B
Oversight of payment systems
General
156B Exercise of powers under this Part
Supply of information relating to payment systems
156C Requirement to supply information relating to payment system
156D Offence to fail to supply information
156E Requirement that information be audited
156F Offence not to comply with requirement for audit
Disclosure of information relating to payment systems
156G Disclosure of information
156H Limits on further disclosure of information
156I Application of other enactments to information published or disclosed under section 156G
Penalties for offences against this Part
156J Penalties for offences
Part 5C
Designated settlement systems
General
156K Exercise of powers under this Part
156L Limit on FMA's powers in relation to Bank
Designation
[Repealed]
156M Definitions for this Part
Designation
156N Designation of settlement system
Effect of designation
[Repealed]
156O Joint regulators' recommendations subject to procedure in sections 156Y to 156ZA
Effect of designation
156P Application of this Part to pure payment systems
156Q Rules of designated settlement system are valid and enforceable
156R Settlements must not be reversed, etc
156S Limits on application of section 156R(1)
156T Netting is valid and enforceable
156U Interrelationship between netting and Companies Act 1993 and Insolvency Act 2006
Procedure for making designation
[Repealed]
156V Underlying transactions, settlements, and limits on effect of sections 156Q, 156R, and 156T
156W Interrelationship with other enactments
156X Transfer of property in accordance with rules is effective
Procedure for making designation
156Y Application for designation
156Z Consideration of application
156ZA Decision on application
Amendments to rules
156ZB Joint regulators must be notified of proposed amendments to rules
156ZC Proposed amendments to rules may be disallowed
Variation and revocation of designation
156ZD Variation of designation
156ZE Revocation of designation
156ZF Settlement and netting not affected by variation or revocation of designation
156ZG Application for variation or revocation of designation
156ZH Either joint regulator may independently begin review of designation
156ZI Matters joint regulators may have regard to in recommending variation or revocation of designation
156ZJ Procedure for variation or revocation of designation
Obligations to give notice and supply information
156ZK Contact person must be notified of insolvency event
156ZL Supply of information relating to designated settlement system
Disclosure of information
156ZM Disclosure of information between joint regulators
156ZN Disclosure of information to third parties
156ZO Limits on further disclosure of information
156ZP Application of other enactments to information published or disclosed under section 156ZN
Penalties for offences against this Part
156ZQ Penalties for offences
Part 5D
Deposit takers
Preliminary provisions
157A Exercise of powers under this Part
157B Interpretation
157C Deposit taker defined
157D Application of Part
157E Bank to consult before recommending making of regulations under this Part
157F Principles to be taken into account under this Part
157G Exemptions from Part
157H Effect of exemption
Credit ratings
157I Deposit taker must have current credit rating
157J Bank may approve rating agencies
157K Regulations relating to credit ratings
Governance requirements
157L Governance requirements
Risk management
157M Deposit taker must have and comply with risk management programme
157N Risk management programme must be provided to trustee and must be amended if required by trustee
157O Trustee may require deposit taker to have risk management programme audited
Minimum capital requirement
157P Regulations may impose requirement that trust deed sets out minimum capital that deposit taker is required to maintain
157Q Deposit takers and trustees must ensure trust deed sets out minimum capital deposit taker is required to maintain
157R Deposit taker must maintain not less than minimum capital prescribed
Capital ratio requirement
157S Regulations may impose requirement that trust deed includes capital ratio
157T Deposit takers and trustees must ensure capital ratio included in trust deed
157U Deposit taker must maintain capital ratio required to be included in trust deed
Restrictions on related party exposures
157V Regulations may impose requirement that trust deed includes maximum limit on exposures to related parties
157W Regulations may incorporate by reference framework for calculation of maximum limit on exposures to related parties
157X Deposit takers and trustees must ensure maximum limit on exposures to related parties is included in trust deed
157Y Deposit taker must not exceed maximum limit on related party exposures
Liquidity requirements
157Z Regulations may impose requirement that liquidity requirements be included in trust deed
157ZA Deposit takers and trustees must ensure liquidity requirements are included in trust deeds
157ZB Deposit takers must comply with liquidity requirements in trust deeds
Other matters relating to trust deeds
157ZC Amendment to trust deed must be treated as if authorised to be made
157ZD Trustee may execute amendment to trust deed
Obligations of trustees to Bank
157ZE Bank may require trustee to attest as to deposit taker’s compliance with requirements
157ZF Trustee must report to Bank non-compliance or likely non-compliance by deposit taker
157ZG Obligation on trustees to disclose information to Bank in certain circumstances
157ZH Protection of trustees
Investigation and enforcement powers of Bank
157ZI Bank may require report relating to deposit taker
157ZJ Power to obtain information and documents
157ZK Limitation on information to be provided
157ZL Limitations on entering and searching place
157ZM Search warrant may be issued
157ZN Privileges
Confidentiality of information
157ZO Confidentiality of information
157ZP Person who does not comply with section 157ZO commits offence
157ZQ Application of Official Information Act 1982, etc
Offences and penalties
157ZR Offences by deposit takers against this Part
157ZS Other offences by deposit takers against this Part
157ZT Defence for deposit takers charged with offences against this Part
157ZU Power of court to discharge deposit taker
157ZV Liability of directors
157ZW Offences by trustees against this Part
157ZX Penalties for offences
Miscellaneous
157ZY Matters relating to regulation-making powers under this Part
157ZZ Bank must review and report on operation of this Part
Part 6
Financial and accountability matters
157 Financial year
Income and expenditure
158 Meaning of notional surplus income [Repealed]
159 Funding agreements
160 Contents of funding agreements
161 Funding agreements to be ratified by House of Representatives
162 Determination of annual dividend
Accountability documents
162AA Purpose of accountability documents
162AB Assessment of regulatory impacts of policies
Statement of intent
162A Obligation to provide statement of intent
162B Content of statement of intent
162C Process for providing statement of intent to Minister
162D Amendments by Bank to statement of intent
162E Statement of intent stands referred to House of Representatives
Annual reports
163 Annual reports and accounts
163A Bank not Crown entity
164 Contents of financial statements
165 Management statements
Financial stability reports
165A Financial stability reports
Audits
166 Auditor-General to be auditor of Bank
167 Performance audit
Part 7
Miscellaneous provisions
168 Bank to be good employer
169 Bank to exhibit sense of social responsibility
170 Application of Banking Act 1982 to Bank [Repealed]
171 Conflict with other Acts
172 Obligations under this Act not limited
173 Regulations
174 Consents under regulations
175 Offences against regulations
175A Privilege against self-incrimination no excuse
175B Admissibility of self-incriminating statements
176 Penalties for offences
177 Time limit for prosecutions
178 Evidence
179 Protection from liability
179A Indemnity
180 Amendment to Income Tax Act 1976 [Repealed]
181 Amendments to Securities Act 1978
182 Amendments to Superannuation Schemes Act 1989
183 Amendments to Trustee Banks Restructuring Act 1988 [Repealed]
184 Amendment to Securities Amendment Act 1988
185 Consequential amendments
186 Repeals and savings
187 References to trading banks to be read as references to registered banks
188 Savings
189 Procedure for applying this Act to persons subject to statutory management under Reserve Bank of New Zealand Act 1964
190 Transitional provisions in relation to Part 5A and Part 5C of Reserve Bank of New Zealand Act 1964
191 Transitional provisions in relation to office holders
192 Transitional provision in relation to accounts of Bank
Schedule 1
Enactments amended
Schedule 2
Enactments repealed
Schedule 3
General provisions relating to material incorporated by reference
Schedule 4
General provisions relating to search warrants issued under Part 5D
[Repealed]
Reserve Bank of New Zealand Amendment Act 1993
Reserve Bank of New Zealand Amendment Act 2003
Search and Surveillance Act 2012
Reprint notes