A world banking expert is confident New Zealand’s financial sector is stable, despite a credit rating downgrade.
Ratings agency Moody’s has reduced the long-term debt ratings of our four major banks.
ANZ National, Wetspac, BNZ and ASB have had their ratings cut from an Aa2 to an Aa3 due to a reliance on offshore debt funding.
PricewaterhouseCoopers partner, Paul Skillender says it may have a minor impact on lending to businesses and borrowers.
“Historically Moody’s had a rating that was slightly higher than other credit rating agencies so this is really just bringing them back in line with these other agencies,” he says.
Moody’s overall outlook for the country’s banks remains stable.
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