New Zealand Bank Vulnerabilities in International Perspective

WPIEA2009224 Image
Price:  $18.00

Author/Editor: Ray Brooks, Rodrigo Cubero
Release Date: © October, 2009
ISBN : 978-1-45187-371-9
Stock #: WPIEA2009224
Stock Status: On back-order

Languages and formats available



The global financial crisis is creating stress on banking systems across the world through funding and asset quality shocks. This paper combines different stress scenarios, as well as cross-country analysis, to assess New Zealand bank vulnerabilities to the global crisis and the domestic recession. It finds that a sharp worsening of asset quality would be required to reduce bank capital below the regulatory minimum. On the funding side, a disruption to banks' offshore funding may put pressure on the exchange rate, but would not trigger a systemic liquidity problem.


Economic sectors , Financial crisis , International financial system , Private sector

More publications in this series: Working Papers

More publications by: Ray Brooks ; Rodrigo Cubero