Banks: Core funding ratio (L2)
This data tracks the core funding ratio (CFR) of banks. The CFR compares an estimate of a bank's funding that is stable and can be assumed to stay in place for at least 1 year (‘core funding'), and the core lending business of a bank that needs to be funded on a continuing basis.
|Jan 2021||Jan 2022||Sep 2022||Oct 2022||Nov 2022||Dec 2022||Jan 2023|
|Core funding ratio|
|Total loans and advances ($m)1||462,233||496,893||512,495||513,950||514,844||515,978||518,850|
|Core funding ($m)||402,677||440,023||464,139||464,701||468,681||470,526||465,000|
|Core funding ratio (%)||87.1||88.6||90.6||90.4||91.0||91.2||89.6|
The data: coverage, periodicity and timeliness
Data on the value of funding are published as end of month figures in millions of New Zealand dollars. Ratios are published as percentages.
We release data approximately five weeks after the reference month.
Start-date of aggregate statistics
We compile tables L1 and L2 from data required to be reported by registered banks from April 2010, and these are published from that date.
We compile table L3 from data that registered banks are required to report by from March 2011, and it is published from that date.
List of institutions included in published liquidity statistics
All locally incorporated banks are required to provide reports on liquidity to us.
Access by the public
Statistics release calendar
The statistics release calendar provides a long-term plan of scheduled releases. We update and release it on the first working day of the month.
View the statistics release calendar
Dissemination of terms and conditions under which official statistics are produced, including confidentiality of individual responses
We provide this information as a service to the public.
We collect, monitor and analyse the data in undertaking our prudential supervisory functions. These operations involve liaising with and monitoring financial institutions to ensure effective implementation of policy and the soundness of the financial system.
Individual bank responses are strictly confidential.
Provision of information about revisions and advance notice of major changes in methodology
Provisional data are italicised. New data, or revised data, are in bold font. Data are deemed provisional when a series is under review. This applies to the summary table only and not Excel files. We generally publish revisions when we are next due to update and release the table. Should we need to make revisions more promptly, we will post a special note. We post any major changes in methodology as a special note.
Dissemination of documentation on methodology and sources used in preparing statistics
Definitions of series are available in the Series description.
Our Liquidity Policy specifies the minimum prudential standards for registered banks, addressing the degree of liquidity risk that they take on and their approach to managing that risk.
Dissemination of statistics that support statistical cross-check and provide assurance of reasonableness
We publish summary information on bank funding in the Standard Statistical Return monthly (see S tables).
Registered banks are required to publish Disclosure Statements quarterly. We reproduce summary information from these statements.
View the list of registered banks
Last updated December 2014
The definitions below are sourced directly from the Liquidity Policy.
Total loans and advances
Total loans and advances (as per BS13) is the figure for loans and advances (net) as reported in the monthly Bank Balance Sheet Survey for the month that is two months prior to the BS13 reporting month.
Core funding ($m)
The core funding dollar amount as at month end, for the purposes of calculating the one-week mismatch ratio, is calculated as:
One year core funding dollar amount =
- all funding with residual maturity longer than one year, including subordinated debt and related party funding
- plus 50% of any tradable debt securities issued by the bank with original maturity of two years or more and with residual maturity at the reporting date of more than six months and not more than one year
- plus non-market funding that is withdrawable at sight or with residual maturity less than or equal to one year, applying the percentages in Table 2 of the Liquidity Policy to such funding falling within each size band
- plus Tier 1 capital.
Core funding (%)
The one-month mismatch dollar amount as at month end, for the purposes of calculating the one-month mismatch ratio is calculated as:
The core funding ratio (CFR) is defined as:
Core funding ratio =
- 100 x (one year core funding dollar amount / total loans and advances as per BS13)
We initially set the minimum CFR at 65% from April 2010, and increased the minimum to 70% from 1 July 2011. From 1 January 2013, the CFR increased to 75%. From 2 April 2020, the minimum CFR decreased to 50%.From 1 January 2022 the CFR was increased to 75%.
The May 2012, the Financial Stability Report (FSR) presented an estimate for the CFR, prior to the introduction of the liquidity policy, from March 1988 onwards using other data sources (see figure E1).View the Financial Stability Report (FSR) for May 2021
Symbols and conventions for summary table
|Symbol or convention||Definition|
|0||Zero or value rounded to zero|
|Light grey background||Historical|
- Individual figures may not sum to the totals due to rounding
- Percentage changes are calculated on unrounded numbers
- You are free to copy, distribute and adapt these statistics subject to the conditions listed on our copyright page.
View more data in the Registered Banks series.