South Canterbury Finance, which is awaiting word on whether it has been accepted into the Extended Retail Deposit Guarantee scheme, may have to raise more capital and sell non-core assets, according to owner Allan Hubbard.

The Reserve Bank of New Zealand (RBNZ) may be able to hold back from a mid-year official cash rate increase due to the sluggish economy, tame inflation, the impact of bank liquidity requirements and expected tax changes.

Long-suffering Lombard Group shareholders have the opportunity to recoup a fraction of their investment in the failed financial company after approving an Australian insurance company's offer for the shell as a backdoor listing on the New Zealand stock exchange.