Latest Reserve Bank Bulletin released

Release date
30 June 2014

The Reserve Bank today released the June 2014 edition of the Reserve Bank Bulletin (PDF 1MB).

One of the Bulletin's three articles looks at the interaction between monetary and macro-prudential policies, an area of ongoing research for the Bank. It concludes that macro-prudential policies set in pursuit of financial stability can, at times, have implications for monetary policy. Monetary policy set in pursuit of price stability can also have significant effects on financial stability. The article says that the two policies will usually be complementary, but that some situations will require careful policy coordination.

Another Bulletin article examines the volatility of New Zealand's terms of trade – a key influence on New Zealand's economy. It finds that cycles in New Zealand's terms of trade have been large in comparison to most other countries, but similar to those in other advanced commodity exporting countries such as Australia and Norway.

The final Bulletin article provides an update on the Kauri bond market. Kauri bonds are a New Zealand dollar denominated security, issued and registered in New Zealand by a foreign entity. The article analyses the reasons behind the strong Kauri issuance during 2013 and 2014.

The June 2014 edition of the Reserve Bank Bulletin will be the final one published in hard copy. Future editions will be available on the Reserve Bank's website. You can subscribe to be notified of Bulletin releases via the Bank's email service.

Media contact:
Angus Barclay
External Communications Adviser
Ph 04 471 3698, angus.barclay@rbnz.govt.nz