1 Nov 2018

Most of ANZ's near-$2b net profit goes back to Australia

From Morning Report, 7:50 am on 1 November 2018

ANZ New Zealand has posted a record net profit after tax of nearly $2 billion. That's a 12 percent increase on last year's profit.

ANZ is the country's biggest home and business lender as well as the biggest KiwiSaver provider. New Zealand's Financial Markets Authority review of banking practices is expected shortly.

Dr Claire Matthews is from Massey University's business school.

"It's nice to know we've got a very healthy bank and a solid banking system, because I'd be very concerned if we had the alternative situation," she tells Guyon Espiner.

"We do need to recognise that we do want our banks making profit - we need banks for our economy to operate."

Dr Matthews says most of the profit will go back to ANZ Australia, but she says the bank has already paid a lot to New Zealand through suppliers, staff and taxes.