posted on Apr, 24 2008 @ 03:41 AM
Is NZ free from bankers?
The answer is no.
We're at the mercy of them. I was talking recently with a board member of one of the top 5 banks, and he was lamenting how unprofitable banking was
becoming these days.
All banks in NZ loan money from overseas banks.
Because of sub-prime, they are struggling to get longer than 18 month terms on the interest. At present mortgage rates here are around 10%. Some banks
are offering lower, but this is a loss leading punt to keep loyalty, hedging that they'll stick with them when time comes around to refinance at a
higher rate.
All our 5 major banks - bar one government backed one called Kiwibank - are foreign owned.
So yes, we're at the mercy of the rest of the world.
As for free trade. Last week we signed a free trade deal with China - the first major 'westernised' country to do so. In the past week our Prime
Minister, Helen Clark, has been up in S.E. Asia trying to negotiate another deal with a few more countries.
New Zealand is to Australia, what Canada is to the USA. We love to hate them, but, our futures are intertwined. There is talk of a common currency
with Australia. In my view, this will happen.
We just need a good reason.
Doesn't that sound familiar?
We're a country of 4.25 million. Immigration in the past 15 years has increased our population dramatically, but, according to the largest daily
paper, the NZ Herald, we lose 100 people a day to Australia. There are many reasons, mostly economic, however on other reason is the open door policy
of immigration to Australia, a favourite with many people of Asian, indian, and to an small extent, Pacific Island descent, whom can't gain visa's
to Australia, but get in via the 'back-door' of NZ.
Look, if you want a peaceful place, then NZ is it.
There are 50 murders a year, we drive on the left hand side, and you have to know how to play rugby or cricket.
We have a no-nuke policy - much to the annoyance of the US military machine (although we do possess one US air base - in Christchurch, run by NY Air
Defense, I know I've got the name wrong - an ex-girlfriend of mine married one of the pilots).
Our air force is, in reality, an air-sea rescue service, our navy comprises of two frigates and a few new fishery patrol vessels, whilst our army
(maybe 10,000 strong) is kept busy at all times doing peace-keeping work, or in Afghanistan, doing our bit to keep the US Government happy, so that
they won't shut the door on our trading status.
Hope that helps.
Go to www.nzherald.co.nz to check out the mood of the nation.
[edit on 24-4-2008 by Mr Gunter]
[edit on 24-4-2008 by Mr Gunter]
[edit on 24-4-2008 by Mr Gunter]