About monetary policy

The Reserve Bank uses monetary policy to control inflation and keep it within a specific target band. Find out about how the Reserve Bank uses and implements monetary policy to maintain price stability.

The Remit, Charter and Code of Conduct are key components of New Zealand’s monetary policy framework. The Remit provides the Monetary Policy Committee (MPC) with its operational objectives, consistent with the economic objectives in Section 8 of the Reserve Bank of New Zealand Act (1989).

The MPC will also be bound by the MPC Charter. The Charter provides directions on decision making procedures, transparency and accountability.

Our At a Glance series explains what you need to know about monetary policy. It also goes into detail on the RBNZ economic model and how our economy works, how the RBNZ forecasts projections, explains what the Monetary Policy Statement is and also how the RBNZ makes monetary policy decisions.

Introduction to Monetary Policy
Implementing Monetary Policy