As New Zealand looks to turn economic recovery into lasting growth, BNZ has launched Productivity Finance to help businesses invest in better technology, equipment and ways of working.
Productivity Finance is designed for major projects where businesses need to invest capital upfront, but where it may take time for the investment to lift productivity, increase revenue, strengthen margins and build a more resilient business.
It can bring together funding for the full project, from equipment and software to process changes, training and specialist advice.
BNZ then structures the finance around the time the business expects to need to put the changes in place and start seeing results, including an interest-only period during the transition.
Alex West, Head of Sustainable Finance, Growth Sectors at BNZ, says lasting economic growth will depend on businesses investing in their future.
“An economic recovery can create confidence and opportunity, but lasting growth comes from businesses investing in improvements that strengthen productivity over the long term,” West says.
“That could mean introducing new equipment, improving technology, changing business processes or giving people the skills to work in different ways.
“The costs start straight away, but it can take time for the investment to deliver results. BNZ’s Productivity Finance gives businesses some breathing room while they make the changes.”
Recent research by BNZ suggests some businesses are unsure about the funding available for productivity projects.
Almost a quarter of respondents (24%) indicated the upfront cost of productivity improvements was a major barrier. Around one in five (22%) were unsure where or how to access funding, while 22% were uncertain about the information they would need to provide to access funding.*
West says the findings show there is an opportunity for more conversations with businesses about their plans and the funding options that may be available.
“Many businesses already have strong ideas about how they could increase capacity, improve efficiency or prepare for future growth,” West says.
“We want businesses to talk to us about the whole project and what they will need to make it work. That includes the equipment, technology, people and changes behind it, as well as how and when the investment is expected to benefit the business.”
Productivity Finance brings a clearer framework to an approach BNZ has already used to support individual customers for a number of years.
“We have worked with a range of businesses to tailor funding around what they want to achieve and how long it will take,” West says.
“This product makes it easier for our bankers and customers to explore whether that approach could support a major productivity project.”
It also builds on BNZ’s wider work to develop funding models that reflect how businesses in different sectors operate and grow, including where their needs extend beyond traditional lending models.
Since 2021, BNZ has introduced Revenue Based Financing, linked to the recurring income of growing software companies; Project Scale Up, for high-potential technology businesses looking to grow; and Contracted Receivables Financing, which helps technology businesses gear up to deliver major secured contracts.
That same thinking has helped customers from a broad range of sectors undertake major productivity projects, including Taranaki commercial laundry La Nuova.
La Nuova undertook a $5 million project involving automated sorting, product tracking and changes across its production process. BNZ combined different types of business finance to support the project through its various stages.
The project has reduced repetitive manual work, with no redundancies, and enabled staff to move into higher-skilled roles in areas such as quality control, logistics and technology management.
“Every business invests and grows differently,” West says.
“Productivity Finance gives us another way to work alongside businesses wanting to modernise, increase capacity and prepare for the future.”
It is available across industries where the proposed investment is expected to improve productivity.
It is generally suited to businesses with annual turnover between $5 million and $50 million, although businesses outside that range may be considered individually. The minimum amount that can be borrowed is $500,000.
*The survey was conducted online among BNZ business customers, between 26th March and 19th April 2026 with incentives provided. A total of 136 responses from businesses were collected. The profile of participating customers was not controlled for this survey.
Eligibility and lending criteria, terms and conditions and fees apply to products referred to in this release.
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