The Reserve Bank of New Zealand has proposed a strengthening of its oversight powers over the payments and settlements systems.The bank called for submissions by May 3 on its proposals, which include increased oversight of 'systemically important' payment and settlement systems, giving the bank the power to direct system operators and the power to set up a  tailored statutory management regime for these payment systems.Deputy Governor Grant Spencer said a review by the bank found its existing powers needed to be strengthened."The need for formal strengthened powers has become more important over recent years, because of the fast-changing payments landscape and the increasingly critical roles played by systemically important payment and settlement systems in the financial system," Spencer said. The bank has also proposed a co-regulatory system for securities settlements with the Financial Markets Authority.