Kiwibank’s $6m in troubled Northern Rock

Taxpayer-funded Kiwibank has invested around $6 million in troubled British lender Northern Rock, which was last week bailed out by the Bank of England.

Spokesman Bruce Thompson confirmed the government-owned entity holds around $6 million in bonds issued by Northern Rock. Kiwibank was “very confident” its investment was safe, he said.

“We’ve got a very small involvement with bonds through Northern Rock,” Thompson said. “That represents about half a percent of our cash and investment portfolio.”

Thousands of depositors started a run on Britain’s biggest mortgage lender, with 3 billion at stake.

Read more

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s