26 Apr 2012

Investigations launched into bank payment failures

5:56 pm on 26 April 2012

Investigations have begun into what caused a banking glitch that delayed the transfer of wages and other payments for thousands of customers.

The interbank payment system used by New Zealand banks, SWIFT, failed early on Wednesday morning.

In a statement, SWIFT's Asia-Pacific chief executive Ian Johnston says he regrets the inconveniences caused and an investigation is underway.

Payments NZ, which administers the system, has also launched an inquiry into the fault but would not speculate on what caused the failure.

Chief executive Steve Nichols says he still has "absolute" faith in the SWIFT system and is not looking to replace it.

Mr Nichols expects Payments NZ's report into the SWIFT failure will be completed in two weeks.