1 November 2007
Reserve Bank restructures Financial Stability Department
The Reserve Bank today announced changes to its Financial Stability Department to enhance management of the Bank's
expanding role in maintaining the stability of New Zealand's financial system.
Deputy Governor and Head of Financial Stability, Grant Spencer, said the changes follow the Government's recent decision
that the Bank will become responsible for the regulation of non-bank deposit-taking institutions and insurance
companies. Legislation enabling the Bank's expanded role is to be introduced over the next year.
"Financial stability is one of the Bank's core functions," Mr Spencer said. "There is a lot for us to work on and the
new structure and teams will enable us to handle this effectively. We are looking forward to the challenge."
In preparation for the new role, the Financial Stability Department has been replaced by two new departments - the
Prudential Supervision Department (PSD) and the Financial Markets Department (FMD).
PSD is in charge of bank supervision and will regulate non-bank deposit-takers and insurance companies. FMD is
responsible for the Bank's domestic and foreign exchange markets activity, and for research and analysis on
macro-financial stability.
Toby Fiennes has been appointed Head of Prudential Supervision, and Simon Tyler the Head of Financial Markets. They
report to Mr Spencer as members of the Bank's Senior Management Group. Over the next three years around 25 people will
join PSD as its regulatory role expands.
Toby Fiennes has been a Special Adviser with the Bank since 2005, engaged in banking supervision, and the reviews of the
regulatory arrangements for non-bank deposit-takers, insurers and New Zealand's Anti-Money Laundering framework. He has
worked at Barclays Bank, the Bank of England, and the UK's Financial Services Authority.
Simon Tyler joined the Bank in 2004 as Manager of Market Operations from the National Bank of New Zealand, where he had
been Head of Treasury and prior to that was Manager Money Markets.
ENDS