Watchdog swoops on finance companies
Saturday 14 February 2004
The Securities Commission yesterday fronted up to concern over mushrooming non-bank lending, revealing it is launching a review of disclosure by finance companies.
By The LandlordBut some finance sources say the ambit of the review is not wide enough, given the risks of New Zealand's overheated property market, and are calling for more regulation in the wake of last year's International Monetary Fund review of New Zealand's financial sector.
The finance company sector has been growing like topsy, with some issuers doubling their loan books each year as they borrow millions from mum and dad investors looking for higher interest rates.
Read More - Opens in a new window
Commenting is closed
It’s full steam ahead for the Stevenson Group’s $800 million, 361-hectare industrial and residential development in South Auckland – despite the uncertainties of the post-Covid-19 era.
Periods of house price decline are rare and "short-lived", says economist Tony Alexander, amid forecasts of a drop of 10%-15% this year.
The Reserve Bank says the commercial property sector is vulnerable to the Covid-19 crisis. But PMG Funds' chief executive believes that while there’ll be short-term pain, the biggest long-term impact will be structural change.
Mortgage lending fell to its lowest level on record last month as the property market ground to a halt during the Covid-19 lockdown.