Reserve Bank of New Zealand Act 2021

Central bank functions - Regulating bank note handling machines

160: Bank may issue standards for bank note handling machines

You could also call this:

"Reserve Bank makes rules for machines that handle money"

Illustration for Reserve Bank of New Zealand Act 2021

The Reserve Bank of New Zealand can make rules for machines that handle bank notes. You need to know that these rules are to ensure the machines only give out notes that are issued by the Bank. The notes must also be in good enough condition to be used as money. The Bank can make these rules to help keep the money system working properly. A rule made under this section is called secondary legislation, which has its own set of rules to follow, see Part 3 of the Legislation Act 2019 for more information. The Reserve Bank has the power to create these standards to maintain the quality of bank notes in circulation.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS345508.

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Part 3Central bank functions
Regulating bank note handling machines

160Bank may issue standards for bank note handling machines

  1. The Bank may issue standards to provide reasonable assurance that a bank note handling machine dispenses a note, or prepares a note for sale to another person, only if that note is—

  2. a bank note issued by the Bank; and
    1. at least of a minimum quality so as to be fit to be used or to be circulated as currency.
      1. A standard issued under this section is secondary legislation (see Part 3 of the Legislation Act 2019 for publication requirements).

      Notes