Reserve Bank Governor Alan Bollard says New Zealand is reasonably well-placed to weather turmoil on international financial markets and a global economic slowdown.
Dr Bollard says New Zealand is in a much better position than it was in 2008 and can respond to a worsening crisis if it eventuates.
He told Nine to Noon that New Zealand's banks are well funded and prepared for any credit squeeze, and he did not think they would be faced with a repeat of the funding problems of 2009.
"We've pushed the banks to get longer term funding, they've got that.
"We've pushed them to put in place securitisation of mortgages that allow them to come to us to get extra liquidity if they need it; we've done that now and we know it works."
Dr Bollard says the Reserve Bank can also take other measures, but he doesn't think that will be necessary.
Dr Bollard says growth among the country's Asian trading partners appears to be holding up, but he still thinks the New Zealand dollar is overvalued.
