Convivial and relaxed, Jim Bolger, the prime minister of New Zealand between 1990 and 1997, is in a luxurious position: as chairman of New Zealand's young but fast-growing state-owned retail lender Kiwibank, Mr Bolger can claim to lead a bank that is not only successful, but also extremely popular.
Founded in 2001 as part of the state-owned New Zealand Post Group (NZPG), the new bank, which focuses primarily on lending to retail customers and small and medium-sized enterprises (SMEs), was borne of necessity: in a world of pervasive electronic communication and a growing number of competing international parcel delivery services, the NZPG's postal volumes have steadily declined. Boasting one of New Zealand's largest distribution networks with more than 300 shops and franchises, however, the Post Group board saw an opportunity to diversify its business lines. "The Post Group had a large footprint of post shops and a top-of-the-line, highly respected brand: the decision to offer financial services was the logical and sensible thing to do," says Mr Bolger. "So we were ahead of the curve."
