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The proposed deregulation of Fiji’s superannuation industry will be good for Fiji, says Westpac Bank general manager John Cashmore.
Cashmore, who is also the chairman of the Association of Banks in Fiji, told FijiLive the move will provide consumers with more choices on where to put their retirement savings.
“The Reserve Bank has said that it’s going to be looking at the de-monopolisation of the superannuation industry. That’ll be a good thing because risk is about choice, and if you can get more choices about where Fijian people can put their funding, that’s a great thing for Fiji,” Cashmore said.
“It’s good to be able to diversify and not just have all your eggs in one basket. It will be a great thing for Fiji.”
Fiji’s superannuation industry is dominated by the Fiji National Provident Fund (FNPF), which is currently preparing itself for the deregulation of the market.
The government had announced plans to reform this market after the Reserve Bank of Fiji, which regulates FNPF, announced in April the setting up of a Financial Systems and Compliance Office (FSC) to oversee the de-monopolisation of FNPF.
Cashmore has not ruled out Westpac’s participation in the retirement savings market but said new products are constantly being developed by the bank.
“We will be releasing a new product very soon. I can’t tell you what it is but it will be a product that will encourage savings,” Cashmore said.
The Reserve Bank has yet to disclose the progress of its work in deregulating FNPF.
