Anderton: Kiwibank paying off

Ownership of Kiwibank is paying off in a big way, both for the people of New Zealand and for the government as its shareholder, Wigram’s Progressive MP Jim Anderton says.

“Combining its profit and its tax paid, Kiwibank is generating almost enough income for the government in one year to equal the $80 million it cost to set up.”

Kiwibank today declared an after-tax profit of $25.8 million for the last six months of last year. It also paid tax of $12 million.

“Kiwibank’s deposits are soaring because New Zealanders can see it is offers a better deal than they would have if we didn’t have our own bank. Kiwibank has an AA- credit rating.

And Kiwibank’s lending is soaring too, because it can offer lower interest rates.

“It’s great that we have our own bank performing so well at a time of international financial crisis. We don’t have to be dependent on overseas financial markets. Those markets right now look like the dog that critics claimed that Kiwibank would be.

“Kiwibank is, after only six years of operating, worth more than NZ post. Its profitability is steadily rising. Kiwibank is continuing to prove itself a winner.”