The government will channel some of its Budget funding into tightening up the finance sector in a bid to protect investors.
The finance sector has been in the media for all the wrong reasons in the last couple of years, with more than a dozen companies going bust and leaving investors in the lurch.
Over the next four years, the government will spend $6.1 million of operating funds and $2.9 million of capital funds on laws to improve the supervision of financial advisors and institutions.
It is expected that the remaining funds of $6.5 million will be paid for by the industry.
Commerce Minister Lianne Dalziel says the funding will allow the registration of service providers and the set-up of dispute resolution schemes.
The Securities Commission will also play a part in licensing
financial advisors.
