According to Sir Ralph Norris, former New Zealand Business Roundtable Chairman, Kiwibank does not have enough funds as it is indulging itself in over trading.

It is worth mentioning that Kiwibank has failed to maintain a proper balance between pricing its products and maintaining capital earnings for the Company. As a result of the imbalance, the Company has fallen short of funds. Norris said, "It's a classical situation in a lot of businesses where they over-trade".

He thinks that those Companies, which try to under price their products, do not generate enough revenue to sustain the business.

He further stated that in order to make profits to increase a Company's capital assets, the products should be priced in a correct manner. By engaging in such over-trading practices, the Companies are only inviting trouble.

According to Sir Ralph, Kiwibanks' current low capital fund is because of its own failure to generate enough capital money from its profits.

Sir Ralph served the Commonwealth Bank of Australian, the parent of ASB for several years. He has also been actively involved in Business Roundtable's state asset sales. He is now resigning from Kiwibank.