Monetary policy

Reserve Bank is coming full circle

If experience is anything to go by, the new RBNZ era will end in tears and inflation and it will take another Minister of Finance, and another RBNZ Governor, to clean up the mess. [...]

International confidence matters

To keep international investors’ trust, we must remain squeaky clean in our fundamental economic institutions. If we are not, New Zealand will come out of the Covid-19 crisis as a broken economy and a failed state. [...]

The Unreserved Bank

The RBNZ needs urgent clarification that the Monetary Policy Committee will only pursue monetary goals, even under conditions of quantitative easing. [...]

The Unreserved Bank of New Zealand

As the Reserve Bank takes on fiscal functions, its political neutrality and commitment to monetary stability, as well as maximum sustainable employment, need to be re-emphasised. [...]

The weird world of negative interest rates

Unless you have a mortgage or you are the Minister of Finance, it is a world you would not want to inhabit. But for millions of Europeans, that may soon be reality. We can only hope that even after the RBNZ’s next cut, New Zealanders will not contemplate going into the topsy-turvy world the Germans are about to enter. [...]