Faster settlements ahead as instant payments roll out
New Zealand is set to gain real-time money transfers, with BlinkPay unveiling the country’s first open banking-enabled payments capability.
The technology confirms settlement within seconds – rather than half-hourly or overnight – and could transform how Kiwis are paid, how urgent funds are distributed, and how businesses manage cash flow.
BNZ has become the first major bank to commit to implementing the system, which is designed to operate across all banks and providers meeting Payments NZ open banking standards.
“This capability is ready to go and represents a potential game-changer for New Zealand’s payments landscape,” said BlinkPay CEO Adrian Smith.
Benefits for workers, businesses and government
Smith said widespread adoption could deliver major benefits.
“With broad industry participation, workers and tradespeople could get paid the moment they finish a job, emergency government support could reach people instantly when they need it most, and businesses could improve their cash flow with immediate invoice payments,” he said.
“We are inviting New Zealand banks and open banking providers that meet Payments NZ standards to work with us to implement this solution at scale for the benefit of all New Zealanders. The technology is ready to go and can be rolled out quickly once more banks and providers come on board.”
Addressing delays in current payment systems
New Zealand’s existing payments infrastructure relies on batch processing, which – while reliable – can create settlement delays.
Real-time payments would allow immediate fund availability for scenarios like property settlements, urgent insurance claims, rental bond transfers, and online marketplace payments.
BNZ CEO Dan Huggins (pictured) said the new capability adds more choice for people and businesses.
“This technology works alongside the existing payment system, expanding the range of options rather than replacing what already works well,” Huggins said.
“We’re excited to work with BlinkPay and support industry-wide adoption to bring this capability to all New Zealanders.
“This initiative supports data sharing rights and the government’s broader open banking goals, working toward a secure, future-ready payments ecosystem for New Zealand.”
How the real-time payments system works
The system leverages open banking connections with settlement through existing banking protocols. It supports real-time notifications, reconciliation, and aligns with AML controls and Consumer Data Right regulations.
Crucially, customers won’t need a separate app – payments would be made directly through existing banking platforms. Its full potential will be realised once multiple banks and providers join to form a nationwide network.
Call for industry collaboration
BlinkPay is now seeking broader industry participation to accelerate adoption.
“We invite and welcome engagement from Payments NZ, regulators, and industry stakeholders to ensure this capability delivers maximum benefit to New Zealand’s financial infrastructure,” Smith said.
Read the BNZ announcement here.
Get the hottest and freshest mortgage news delivered right into your inbox. Subscribe now to our FREE daily newsletter.
