The government taking full ownership of Kiwibank is a bailout in all but name – what are the risks now?
- Written by: Martien Lubberink, Associate Professor of Economics, Te Herenga Waka — Victoria University of Wellington
Getty ImagesWith the transfer this week of Kiwibank’s assets to a state-owned company, the New Zealand crown has now taken full control of the bank. At an estimated cost of NZ$2.1 billion, the change of ownership has all the hallmarks of a government bailout.
Former owners NZ Post, the Accident Compensation Corporation and the New Zealand...
