Date 26 April 2012
Reserve Bank Governor Alan Bollard said: “Inflation is restrained and is expected to stay near the middle of the Bank’s target range.
“The domestic economy is showing signs of recovery. Housing market activity continues to increase and a recovery in building activity appears to be underway, as forecast. That recovery will strengthen as repairs and reconstruction in Canterbury pick up later in the year.
“However, the global outlook remains of concern. Near-term indicators have moderated and financial market sentiment is still fragile.
“The New Zealand dollar has stayed elevated despite recent falls in commodity prices. Should the exchange rate remain strong without anything else changing, the Bank would need to reassess the outlook for monetary policy settings.
“For now, it is appropriate for the OCR to remain at 2.5 percent.”
Head of Communications
Ph 04 4713671, 021 497 418, email@example.com
The Reserve Bank’s email Service is a free service that allows you to get the latest information from the Reserve Bank. Subscribers will be emailed Monetary Policy Statement news releases, OCR announcements and other public statements as they are posted on the website.
Stay current with the latest content on the Reserve Bank website