Photo: ODT filesThe Reserve Bank has raised concerns around risk governance processes at Westpac in New Zealand and has asked the Australian-based lender to commission two independent reports to address them. The central bank said it was raising Westpac NZ's required holding of liquid assets until it was satisfied that the remediation work was complete and effective. The first independent report required from the lender will assess Westpac NZ's risk governance processes and practices applied by its board and executive management, the RBNZ said on Wednesday. Westpac NZ, a unit of Australia's third largest-lender Westpac, said it would support the independent reviewers to provide the necessary reports and act promptly on any recommendations. RBNZ said it was confident that Westpac NZ's current liquidity and funding positions were sound, and that the bank was well capitalised.

Source: Otago Daily Times March 23, 2021 21:00 UTC