Global Women Partners, KPMG New Zealand, have recently released the latest findings on what the evolution of the current generation of Post Settlement Governance Entities might involve.
As part of their ongoing Maui Rau Thought Leadership series, KPMG’s report looks at the structure of PSGEs, resource expectations and it provides points on where PSGEs can position themselves to best materially contribute to change the trajectory for whānau.
The report draws on the experiences of individuals who have been deeply involved with iwi entities — along withKPMG New Zealand’s perspectives.
This particular report has pulled back the curtain on some interesting findings. It shows that the expectations of iwi entities far outweigh the resource base they have to deliver. Additionally, the structure of these PSGEs have been found to have not changed despite significant environmental shifts.
“So much media and attention is on the estimated $69 billion asset value, but it is not often made clear that the majority of this is not due to Treaty settlements, not in liquid assets, and not $69 billion of annual income,” says KPMG Partner and National Industry Lead for Māori, Riria Te Kanawa. “It represents a capital base from which annual returns are split between funding operations, distributing benefits for today and reinvesting for future generations. Iwi are not, and cannot operate like mini-governments and it is not uncommon to find situations where iwi are effectively working with $130 – $180 per person per annum to deliver on expectations for this generation.”
The report also offers some future-focused wisdom, suggesting that now is the time to zone in and understand how and where PSGEs can best position themselves to deliver. Māui Rau outlines six areas that might be considered en route to PSGE 2.0, which draw on the complexity of the context in which PSGEs operate today.
The report recognises some of the reality that Māori face as they brush up against and interact with government systems and the financial realities and constraints. It also acknowledges that there needs to be a balance between what is centralised and what is localised.
Most of all, this in depth, pulse-checking report stresses the importance of those who are closest to the issues and actions having the shaping perspectives: “Maui Rau is a kaupapa that has always sought to understand the perspectives of those closest to the issues. This report aims to bring those perspectives together and provoke the thinking and discussions necessary for us to constructively challenge the status quo.
Read the full Māui Rau 2022 report through KMPG New Zealand here to discover all the insights.