Sharechat Logo

Budget gives FMA ‘right tools’ to protect investors - Power

Wednesday 20th April 2011

Text too small?

Commerce Minister Simon Power has announced Cabinet approval for the operating budget for the Financial Markets Authority (FMA), which begins operations on May 1.

The budget for 2011/12 will be $24 million, increasing to $28 million in 2013/14 to reflect the emphasis on market intelligence, investigation, enforcement and additional transition costs.

The budget for 2014/15 and beyond will be around $26 million – an increase of around 44% on the $18 million for the current regulators.

Power said the FMA needed to be adequately funded to conduct its functions effectively.

"This budget shows that the Government is committed to ensuring the FMA has the right tools to keep our capital markets working for mum and dad investors," he said.

"With this level of funding it can focus on proactively monitoring and enforcing regulation of our financial markets."

The funding will be a combination of Crown funding, to reflect broader public good, and third-party funding, where services are provided to specific market participants for their individual or group benefit.

Third-party funding will be sourced from fees and levies paid under the new legislation.

Power said he intends to publish a discussion document shortly seeking public comment on the proposed fees and levies.

The discussion document will also contain fees and levy proposals for the Companies Office, the Insolvency and Trustee Service, and the External Reporting Board.

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

18th October 2021 Morning Report
T&G Global Limited (NZX: TGG) FY21 Earnings Guidance Update
Arvida Group Limited (NZX: ARV) Successful Completion of $155m Placement
FreshLeaf: Cannabis on course to be 'medicine of the masses'
Arvida Group Limited (NZX: ARV) to Acquire Arena Living Retirement Living Portfolio
My Food Bag Group Limited (NZX: MFB) Market Update and HY Results Announcement Date
Harmoney Corp Limited (NZX: HMY) Delivers Record September Quarter
Vital Healthcare Property Trust (NZX: VHP) Announces Successful Completion of $115m Placement
14th October 2021 Morning Report
General Capital Limited (NZX: GEN) Completes Greenfern Listing