Mortgage Rates Daily Commentary
Saturday 24 May 2025
[Weekend Read]. KiwiSaver changes a little underwhelming: Looking for a PI option?
Here's your weekend TMM read.
First up the Budget was the big event of the week. We have focussed on KiwiSaver and you can see our Opinion piece on the changes here.
Professional Indemnity is always a hot topic with advisers. This piece we ran on the site is well worth a read if you are looking to renew your PI Cover. [READ ON]
NEWSFLASH: Cash rate unchanged
The Reserve Bank today left the Official Cash Rate unchanged at 5.75%.
Thursday, January 23rd 2003, 9:21AM
NEWSFLASH: Cash rate unchanged -->NEWSFLASH: Cash rate unchanged -->"A key development since November has been a further sharp rise in the New Zealand dollar against all major currencies. If sustained, we expect the higher exchange rate to dampen future economic activity and, hence, medium-term inflation pressures," Reserve Bank governor Alan Bollard said.
"However, current domestic economic activity appears to be more robust than we anticipated, as reflected in indicators of household spending and construction sector activity. The latest estimates suggest that domestic inflationary pressure has continued, offsetting a fall in imported inflation. As expected, overall CPI inflation has remained towards the upper end of the 1 to 3% target band for inflation on average over the medium term.
"For the moment, it is appropriate to leave the OCR unchanged, reflecting the strong growth in the New Zealand economy. However, the balance of risks around the future path of interest rates has shifted. If the exchange rate remains at around present levels or appreciates further, and if the evidence points to reduced pressures on resources and medium-term inflation, then there may be scope for a cut in the OCR later in the year," Bollard said.
The next OCR announcement comes with the release of the Monetary Policy Statement on March 6.
This is the official announcement from the Reserve Bank. A news story will follow.
Commenting is closed
