NZDMO increases 2010/11 issuance programme by NZ$1 billion
The New Zealand Debt Management Office (NZDMO) announced on December 14 that its government bond issuance programme for 2010/11 has been increased to NZ$13.5 billion (US$10.1 billion) from the previous target of NZ$12.5 billion. As the half-way point of the financial year approaches the NZDMO has completed NZ$7.8 billion of borrowing in 2010/11.PSIS brings New Zealand's second post-crisis RMBS
PSIS issued a NZ$100 million (US$74.7 million) residential mortgage-backed securities (RMBS) deal on December 13, in what is only the second New Zealand RMBS transaction since the financial crisis. According to the issuer it is also the first prime RMBS to be issued to third-party investors in New Zealand without lender's mortgage insurance.ASF welcomes government's covered bond and RMBS measures
The Australian Securitisation Forum (ASF) issued an immediate positive response to the December 12 announcement of a raft of government measures to support and expand the Australian asset-backed market via both securitisation and the introduction of covered bonds. An ASF statement says the organisation is "delighted that the government acknowledges the vital and productive role that securitisation plays".
Opposition support clears path for covered bonds legislation
Australia's federal opposition has offered in-principle support to legislation, slated for early 2011, that will for the first time allow domestic authorised deposit-taking institutions (ADIs) to issue covered bonds. In a statement, the shadow treasurer, Joe Hockey, highlights covered bonds as one of two specific measures included in the government's banking sector reforms package that the opposition welcomes.Swan gives covered bonds green light in banking system shakeup
Australian federal Treasurer, Wayne Swan, revealed the government's long-awaited banking system reforms on December 12. Among a raft of significant measures, Swan proposes that Australian financial institutions (FIs) should be allowed to issue covered bonds and that exchange trading of government bonds be introduced to help plans to develop a deep and liquid corporate bond market.