Business focus urged for Kiwibank

Kiwibank should start opening business accounts when it has completed the roll-out of its branch network, says the bank's champion, Economic Development Minister Jim Anderton.

The state-owned bank now offers accounts to individuals only.

But Anderton said at the opening of a branch in Nelson on Friday that there were 250,000 small businesses in New Zealand.

"I would rather that they spend their cash on growing their businesses than expanding the profits of the Australian banks through excessive fees and businesses lending rates," he said.

Kiwibank would need time to open the restof its planned branches, Anderton said.

"After that I would like to see its services expanded to include small businesses."

Kiwibank spokesman Bruce Thompson said there were no immediate plans to offer business accounts.

"We would see that as a logical expansion of the offer, in time."

The next step was to introduce a credit card, he said.

Its launch was planned for early next year.

Kiwibank's Nelson branch was the 259th to open.

The bank expects to have between 290 and 300 branches by Christmas.

"The time has come for the critics of Kiwibank to stop knocking a New Zealand success story," Anderton said.

Further reading
nzherald.co.nz/kiwibank