We are all one step closer to an elegant takeover by the Kiwis of Australian financial regulation.
To simplify capital calculations for banks, and in turn, capital floor calculations, APRA is proposing that risk-weighted assets of the New Zealand banking subsidiaries of banks be calculated under Reserve Bank of New Zealand rules for the determination of Level 2 group capital requirements.
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David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal.
He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.
