RBNZ Orders Independent Review of TSB's Financial Ratios

The Reserve Bank of New Zealand (RBNZ) has requested an independent report on TSB's capital and liquidity calculations, citing issues reported by the bank. This request comes as Heartland Group shareholders prepare to vote next week on a proposal to acquire TSB from its current owners.

TSB, a Taranaki-based bank, had previously reported problems with its capital and liquidity ratio calculations, which are critical for ensuring a bank's financial stability. The RBNZ has taken this step as part of its regulatory oversight, aiming to verify the accuracy of these calculations.

The report will provide a detailed assessment of TSB's financial situation, which could impact the outcome of Heartland Group's acquisition bid. Shareholders are set to vote on the proposal next week, and the RBNZ's move is seen as an attempt to ensure transparency in this process.