ANZ New Zealand grew its net profit after tax by 21% in the year to September 2025, reaching a record $2.53 billion. The bank attributed much of this jump to gains from economic hedges it used to manage interest rate and foreign exchange risk.
It reported a $163 million gain from its economic hedges, marking a reversal from a $196 million loss in 2024.
ANZ New Zealand increased its lending by 4% and its deposits by 5% over the year amidst what it described as a “strongly competitive market.” This growth contributed to a 4% rise in its net interest income, which reached $2.28 billion.
In the last three months, nearly 25% of those refinancing their home loans at lower rates have either maintained or increased their repayment amounts, which means they will be able to pay off their home loans faster.
Over 40% of home loan borrowers are currently ahead on their repayments by six months or more, and more than 45% have savings cushions of at least $5,000.
“It has taken New Zealand longer than hoped to recover from the post-Covid rebalancing, but there are now signs the nation’s economy is finally picking up,” ANZ NZ chief executive Antonia Watson said.
“Global uncertainty hasn’t helped but we expect lower inflation and falling interest rates to flow through and boost the recovery as we head into the new year.”
According to Watson, optimism is returning, especially in regional areas, but Auckland and Wellington, due to the diversity of their economies, are expected to take longer to experience this improvement.
“If we don’t have any significant events, we expect the economy – driven by rural New Zealand – to be heading back to pre-Covid levels late in 2026, with the uplift, when it comes, likely to be broad-based,” Watson said.