Independent Review of the Operation of Monetary Policy

In May 2000, the Government initiated a review of New Zealand's monetary policy framework. It appointed Professor Lars Svensson of Stockholm University to conduct the review and to report by the end of February 2001. On 28 February, Professor Svensson's report was released under the title Independent Review of the Operation of Monetary Policy: Report to the Minister of Finance.

Read the Independent Review of the Operation of Monetary Policy: Report to the Minister of Finance (PDF 598KB)

7 August 2001

On 7 August 2001, the Reserve Bank Governor Don Brash issued a news release saying the announcement made by the Treasurer that "The Government has cross-party support for a series of minor changes to the Reserve Bank Act arising out of the Svensson Review of the Operation of Monetary Policy", was very welcome.

30 May 2001

On 30 May 2001, the Minister of Finance released his responses to the recommendations made in the Svensson report as the basis for consultations with other parliamentary parties.

Read the Minister of Finance's responses (PDF 21KB)

At that time the Reserve Bank responded to Professor Svensson's Report, as did the Bank's Non-Executive Directors Committee. The Treasury's advice to the Minister was also made public.

Read the Reserve bank's response

Read the Bank's Non-Executive Directors Committee (PDF 48KB)

Read the Treasury's advice (PDF 58KB)

More information on the review can be found on The Treasury's website

During the review, the Reserve Bank made public its submission, along with a number of supporting documents, and a separate submission of the non-executive directors of the Board of the Reserve Bank. These are outlined below.

Main Reserve Bank submission

Reserve Bank supporting papers

Term of Reference 1

Term of Reference 2

Term of Reference 3

Term of Reference 4

Term of Reference 5

Term of Reference 6

Non-executive directors' submission