Saving borrowers money

Kiwibank chief executive Steve Jurkovich told Parliament’s finance and expenditure committee’s inquiry into banking competition, being “maverick” means being independent and driving a lot more competition against the big four Australian-owned banks.

If Kiwibank’s growth of 9% a year – more than twice that of the big four banks – continues Jurkovich says that will mean $1.5 billion of profit won’t be available for those banks because the New Zealand-owned bank will have driven priced and the variety of products on offer.

Last week Finance Minister Nicola Willis gave the green light for Kiwibank to raise $500 million capital before a possible IPO in 2028.

Making Kiwibank more competitive to take on the big four banks was one of the recommendations of the Commerce Commission’s banking competition inquiry earlier this year.