Regulatory Alerts2022-05-17
New Zealand: Regulation and Oversight of Financial Market Infrastructures
The International Monetary Fund recommends that New Zealand authorities implement a new legislative framework to replace the voluntary oversight regime for Financial Market Infrastructures with mandatory powers aligned with international standards. The report urges the Reserve Bank of New Zealand and the Financial Markets Authority to significantly increase supervisory resources, formalize assessment practices, and clarify the Financial Markets Authority's role to ensure effective risk management. Additionally, the IMF advises refining crisis management arrangements to address FMI-specific resolution features and enhancing cross-border cooperation to mitigate systemic interdependencies.
Share