The Reserve Bank of New Zealand has published a voluntary framework agreed with eight transaction service providers and five other public sector agencies to improve individuals’ access to basic transaction services. Effective 1 January 2027, the Memorandum of Understanding (MoU) establishes commitments for participating providers to develop and implement plans addressing barriers to accessing these services, including difficulties meeting identification requirements, disability, financial hardship and domestic violence. Providers retain discretion over customer onboarding decisions and remain responsible for complying with applicable legal and regulatory requirements. An accompanying non-binding Practice Note outlines options for more inclusive onboarding, including alternative identification or delayed identity verification, credible referee statements, supporting documentation from public sector agencies and electronic identity verification. Providers may also consider proportionate risk controls, such as transaction limits and enhanced monitoring, alongside tailored customer support and specialist staff training. These approaches remain subject to the Anti-Money Laundering and Countering Financing of Terrorism Act 2009 and the Identity Verification Code of Practice. Providers may decline applications where legal requirements cannot be met or relevant risks cannot be adequately managed. Under the MoU, participating providers commit to submitting their implementation plans to the Reserve Bank, informing staff and customers about their participation, providing data through an agreed reporting template on a best-endeavours basis and meeting annually with the Reserve Bank to review progress and implementation challenges. The Reserve Bank will monitor implementation and publish annual reports based on aggregated data once reporting begins. The MoU is generally non-binding, except for its legally binding confidentiality and information security provisions.
Reserve Bank of New Zealand launches voluntary framework to widen access to basic transaction services
The Reserve Bank of New Zealand has launched a voluntary framework, effective 1 January 2027, to improve individuals’ access to basic transaction services. An accompanying Practice Note outlines flexible onboarding approaches, including alternative identification and proportionate risk controls, subject to existing regulatory requirements.