The NZIER Report to ASB discusses the role of banks in supporting New Zealand's business productivity. It notes that domestic start-ups frequently seek overseas investors or buyers when scaling, potentially due to limited access to expansion capital and expertise within the local ecosystem.
Foreign investment and tax rules may be a factor in limiting the movement of capital and expertise to New Zealand.
Banks can support established businesses differently than start-ups by providing capital access and innovative financing solutions. Financial institutions leverage client relationships to encourage business leaders to adopt innovation-focused lending practices.
ASB Initiative
ASB is offering $5 million in productivity grants to businesses that secure lending by June 30 to enhance operational efficiency.
Case Study: Bon Accord
Established in 2002, Bon Accord is an Auckland-based company that supplies beverage products to hospitality sectors. The company adds value to New Zealand milk powder through research and development, serving markets across Australia, the Middle East, Japan, and the Pacific Islands.
Bon Accord demonstrates how strategic financial partnerships support supply chain investments and productivity-enhancing equipment purchases. The business maintains international food safety certifications (FSSC 22000) and collaborates with customers to develop new products.
