Kina to introduce competitive rates

Kina Bank aims to make first home buyer rates a signature product.

CEO Greg Pawson said this at the recent Port Moresby Chamber of Commerce and Industry (POMCCI) Business Breakfast.

He said this is part of Kina Bank’s aim to be a competitive player in the sector by offering low and competitive home loans.

Pawson said three months ago Kina Bank introduced its home loan products which have seen great interest.

“We launched a very competitive low variable rate home loan about three months ago and it’s fair to say the activity, the buy-up and the volume that we have seen has been really impressive,” he said.

“To put it into perspective, home lending in PNG has been dominated by one bank in particular and they’ve done a very good job of it. I think they are very supportive in getting Papua New Guineans into homes.

“We intend to challenge that and we will be very competitive. We will bring our rates down slightly and we’re looking at a whole bunch of different options in terms of products around home lending and we actually want home lending to be our signature product. We have a moral and social obligation to get them into their homes.”

Pawson said the Bank is keeping an eye out for major sub-divisions to complement its home loan product.

“Like us, most corporates here in PNG have some form of home loan assistance, at Kina we give our staff a K50,000 grant to assist with their deposit on their first home. So that’s a very big focus for us.

“And we are keeping a close-eye and assisting where we can with some of the major land sub-divisions particularly here in PNG,” said Pawson.

In 2018 Kina Bank announced its acquisition of ANZ’s retail, SME and commercial arms along with their customer base.

Full integration of the ANZ retails chains is expected to be completed by September 23rd, 2019.

Cedric Patjole