2019 Financials Statements
CSB’s Financial Statements are published for the year ending 31 December 2019. The financial statements are independently audited by KPMG, a global accounting firm. We are pleased to share the results with you.
We maintain our focus on providing capital security and have strengthened our capital ratio. As of 31 December, 97% of CSB’s funds were placed with investment grade bonds and banks with investment grade ratings. We continue on this basis in 2020 to ensure the bank retains its strong position in these times of market turmoil. Please visit our financial statements for details and letters from me and the chairman of the board.
Update from Gerard Field, CEO
Much has been written about COVID-19 and its impact in the short time since a global pandemic was announced. I find it to be a human story first and foremost. Many people have lost lives, suffered ill health and lost jobs as a result. Additionally, people are displaced outside of their countries or at home in lock down. Many are struggling with adapting to the new way of life and work. All of this has been a major shock to society yet through it all the human spirit remains and life continues on.
Here in the Cook Islands we have been fortunate to have no cases of COVID-19. New Zealand, our main transport hub, has almost eliminated COVID so we hope travel and domestic tourism will return to normal soon.
At Capital Security Bank our operations have continued as normal. We temporarily reduced staff working from the office when the country increased its alert level but have since resumed all office operations.
We’ve all witnessed the financial markets roiled by events and I am proud of the CSB team steering a prudent course through the ructions created. In the midst of such disturbances there can be opportunities. In March and April we were able to pass onto our clients increased interest rates of over 1%. Many of you took advantage of these rates. We will look to offer favourable rates in the near future as these opportunities arise.
As noted above, we have high quality investments with all in liquid positions. This is the key to building a strong portfolio and trust with our clients. We acknowledge that trust, look forward to working with our clients in the future while providing capital security and a sound return.
Banking in the Cook Islands
Are you interested in learning more about the Cook Islands and its banking environment? While Financial Services is a smaller industry than tourism, Cook Islands is working to increase its size. The Cook Islands Financial Services Development Authority, of which I am a Director, has recently outlined a 5 year strategy to increase the contribution of financial services to the Cook Islands economy. Here’s an outline of the industry that I authored.