Application criteria for acceptance of Kauris as security in Reserve Bank Domestic Operations

Thank you for your interest in the Reserve Bank of New Zealand accepting your issuance as security in its liquidity operations. Please provide the information noted below and attest to the following statements:


  • Background on the issuer (including all ratings);
  • Details of the issue, as per an Issue Notice, Prospectus and/or Information Memorandum. This should include:
    • Full legal name of Issuer;
    • Physical and postal address;
    • Description;
    • Issue size;
    • Pricing convention (full details)
    • Currency;
    • Arranger;
    • Dealers;
    • Registrar;
    • Paying agent;
    • Term;
    • Clearing system;
    • Governing law;
    • Redemption;
    • Payments and record date; and
    • Listing (Stock exchange if any).


Confirm that the issue meets the following criteria:

  • For debt issuance (fixed rate bonds or floating rate notes), the issuer and issue have a long term rating of at least AA- from two acceptable ratings agencies – where there are more than two agencies rating the issuer and issue, at least two agencies must rate the issuer and issue as AA-.
  • For CP issuance, the issuer must have a long term rating of at least AA- and the issue/programme a short-term A-1+ rating, from two acceptable rating agencies – where there are more than two agencies rating the issuer and issue/programme, at least two agencies must rate the issuer as AA- and issue/programme as A-1+, and no issuer rating be lower than A-.
  • Issuer (other than Supranationals) domiciled in one of the following jurisdictions:
    • Austria, Australia, Belgium, Canada, Czech Republic, Denmark, Finland, France, Germany, Hong Kong, Ireland, Italy, Japan, Luxembourg, Malta, Netherlands, New Zealand, Norway, Singapore, South Korea, Spain, Sweden, Switzerland, United Kingdom and United States.
  • Issuer is an institution with which the Reserve Bank has no supervisory conflict (i.e., restricted to Supranational, Foreign Sovereign, "Agencies" and Semi-Government issuers).
  • Issue is plain vanilla (e.g., a bond with no optionality and not sub-ordinated).
  • Issue's pricing convention follows price and yield formulae as used by the Reserve Bank – in particular fixed rate bonds must have either a quarterly or semi-annual coupon. Formulas can be found in the Appendices of the Operating rules and guidelines (PDF 132KB).
  • Issue denominated in New Zealand dollars.
  • The security is not already on issue.
  • Issue will be lodged in NZClear. Eligibility criteria for lodgement into NZClear include having a suitable registrar, and paying agent (not Reserve Bank).
  • Issue has more than three days to maturity.

Also as is usual for securities in NZClear, only NZClear members who have a valid resident withholding tax certificate are allowed to hold these securities in the NZClear depository.

Subsequent issues of the same security will not require Reserve Bank approval.

The Reserve Bank reserves the right to refuse an application for any reason and is not required to disclose such reasons. In particular, it should be noted that if the credit rating of the issuer/issue falls below the Reserve Bank's threshold, then the issue will cease to be eligible in the Reserve Banks' operations.

The above information must be signed by authorised signatories of the Issuer. The Reserve Bank will require a list of authorised signatories for the Issuer and evidence satisfactory in form and substance to the Reserve Bank of the authority of the authorised signatories of the Issuer to execute this Agreement, any other notice or communication issued in respect of this Agreement on behalf.

Please email applications to