- More COVID-19 cases emerge in the Auckland region and the NZ Government announces to abolish its DHBs.
- The RBNZ to harden its LVR restrictions, while Amazon Web Services to open data centres in NZ in 2024.
- Fonterra Co-operative proposes a new capital structure, thus enabling easy entry of new framer in the co-operative.
Today, Kiwiland is bustling with important and significant news from almost all sectors of the economy.
Image source: © 2021 Kalkine Media New Zealand Ltd
Talking about the COVID-19 situation across New Zealand, 15 new cases related to the Delta community outbreak have emerged in the Auckland region, thus taking the total number to 1,123 in this winter outbreak.
So far, 4,867,818 COVID-19 vaccines have been administered as of 22 September.
NZ Government to come up with a centralised healthcare system
Coming on to the country’s health front, the NZ Government declared today abolishing all the 20 District Health Boards and creating a single health organisation, thereby aiming to centralise NZ’s scattered healthcare system.
In this regard, it disclosed the interim boards of Maori Health Authority and Health New Zealand. Also, legislation on the said changes would be launched next month.
RBNZ to stiffen LVR restrictions
Talking about the economic front, The Reserve Bank of New Zealand has disclosed that it would go ahead with the stiffening of LVR, i.e., Loan-to-Value Ratio restrictions from 1 November onwards.
The move has been taken to prevent the worsening of the problems related to ever-growing and unsustainable house prices, which is posing a serious risk to the country's economic and financial stability.
AWS announces to open data centres in the country
As per the latest update, an Amazon.com, Inc. (NASDAQ: AMZN) company, AWS, i.e., Amazon Web Services, has revealed its plans to open an infrastructure region in Auckland in 2024, wherein customers would be allowed to securely store data in the country.
It must be noted that this region would enable an increased number of startups, enterprises, government as well as various non-profit organisations to serve their end users from these NZ-based data centres.
This new AWS region through an investment of NZ$7.5 billion would help in creating 1,000 new jobs across the country in the next 15 years.
Fonterra’s new proposal on its capital structure
Fonterra Co-operative Group Limited (NZX:FCG), the country’s dairy giant, has released its annual report and proposed a new capital structure so as to expand its domestic market share.
According to the proposal, this new capital structure would easily enable new farmers to join the co-operative. Also, its minimum shareholding requirement would be fixed at 33% of the milk supply.
Hence, with the overhauling of its capital structure, Fonterra expects to achieve a surge of 40%-50% in its operating profit by 2030 and plans to return NZ$1 billion by way of dividends and sales by FY24.
Launch of high-tech BioMed to accelerate cancer therapy trials
Now, talking about Aotearoa's tech sector, the country's Research, Science and Innovation Minister, Hon Dr Megan Woods, today launched BioOra, a biomedical manufacturing company, which is focused on the expansion of CAR T-cell cancer therapy across Kiwiland.
Funds announced for cleaning up hazardous NZ sites
Coming up next is NZ’s climate and environment front, wherein the NZ Government, with an aim to protect health of its people and environment, today announced the funding, through the Contaminated Sites Remediation Fund, to support to clean-up of contaminated and hazardous sites based in Dunedin, Northland, and Southland.
Lastly, as the news of bankruptcy hovers over Evergrande, China’s giant property developer, the NZ dollar posed a defensive outlook.
Today, the Chinese property company is due to pay interest on one of its dollar bonds and a potential non-payment may result in global unrest.
The NZ dollar was at $0.6990, and any default could trigger its retracement to a minimum of $0.6950.