The Reserve Bank of New Zealand (RBNZ) released its Sectoral Factor Model Inflation gauge for the first quarter of 2024 after the publication of the official Consumer Price Index (CPI) by the NZ Stats early Wednesday. The inflation measure rose 4.3% YoY in Q1 2024 vs. 4.7% in Q4 2023.
The exchange rate would start to appreciate, which would bring down inflationary pressures. So then you have to think about what are the flow-on effects of that inflation, and would that mean that we would end up cutting more quickly than what we are currently considering?
The Reserve Bank of New Zealand (RBNZ) Governor Adrian Orr said on Tuesday that the central bank remains laser-focused on its job to control inflation. Orr further stated that the central bank is on track to get inflation back into the target band.
Following the conclusion of the April policy meeting on Wednesday, the Reserve Bank of New Zealand (RBNZ) board members decided to maintain the Official Cash Rate (OCR) at 5.50%. The decision was in line with the market expectations.
At its February policy meeting, the RBNZ decided to keep the policy rate steady at 5.50% for the fifth meeting in a row.
The Reserve Bank of New Zealand (RBNZ) board members decided to hold the Official Cash Rate (OCR) unchanged at 5.5%, as widely expected in its November monetary policy meeting.
The Reserve Bank of New Zealand has hiked 50 bps as expected and the market is now digesting the statement, and the committee considered whether to increase by 50 or 75bps at this meeting, concluding that it is appropriate to continue hiking at the current pace.
The Reserve Bank of New Zealand is New Zealand's central bank. Like most central banks, the Reserve Bank is primarily a policy organisation, and exists to do three main things: formulate and implement monetary policy to maintain price stability, promote the maintenance of a sound and efficient financial system and meet the currency needs of the public.
The official website, on Twitter and YouTube
Adrian Orr is the Governor of the Reserve Bank of New Zealand. He was appointed in March 2018. He is New Zealand born and bred, and primarily of Cook Island and Irish descent. Adrian graduated from the University of Waikato in 1983 with a Bachelor of Social Sciences, majoring in Economics and Geography. He also holds a Master’s Degree in Development Economics (Distinction) from the University of Leicester, England, graduating in 1985. Adrian has also served as Chair of the International Forum of Sovereign Wealth Funds, and Chair of the Pacific Pension and Investment Institute.
Adrian official RBNZ profile
The World Interest Rates Table reflects the current interest rates of the main countries around the world, set by their respective Central Banks. Rates typically reflect the health of individual economies, as in a perfect scenario, Central Banks tend to rise rates when the economy is growing and therefore instigate inflation.