The Reserve Bank has decided to leave the Official Cash Rate at 5.75%
Speaking at the release of the Reserve Bank's Monetary Policy Statement Reserve Bank Governor Alan Bollard said "On 23 January 2003, we stated that `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,
Thursday, March 6th 2003, 9:47AM
by The Landlord
then there may be scope for a cut in the OCR later in the year.'
"Today's decision reflects that fact that the two-part criterion described above has not yet been fully met. The exchange rate has indeed appreciated further, but, so far, evidence of reduced inflation pressures has not been forthcoming.
