FMA tells commerce minister CoFI is essential

The Financial Markets Authority (FMA) says the Conduct of Financial Institutions (CoFI) regime “is essential” for it and that the licensing process is complete for most providers with supervision and monitoring work now underway.

In response to commerce and consumer affairs minister Scott Simpson’s letter of expectations, FMA chair Craig Stobo says the regulator wrote to all relevant industry chief executives in April setting out its CoFI expectations and focus areas for 2025/26.

“The FMA’s focus is on addressing risks identified during the licensing period and focusing on financial institutions who have not previously self-reported issues regarding fair treatment of customers,” Stobo said in his letter.

The FMA also plans a broader consumer focus for 2026 and will expand its engagement with consumer groups “to ensure their voice is heard throughout our work,” he says.