Expect more intrusive Reserve Bank: Bascand

Banks and insurers will face more scrutiny from the central bank as part of a "more intensive supervisory approach", Bascand warned in a speech this week.

Bascand expects the central bank to continue with thematic reviews across the financial system. At the Financial Markets Law Conference in Auckland, Bascand promised a review into the use of actuaries in the insurance sector, as the RBNZ takes aim at new targets.

"In the near future there will be a thematic review on banks’ liquidity standards and another on the appointed actuary regime in the insurance sector," he said.  "We will continue to periodically stress test the banking system."

It comes as the RBNZ commences a review into insurance legislation and solvency standards.