THE CENTRAL BANK OF NEW ZEALAND KEPT THE RATE AT 0.25%
In New Zealand, the next meeting of the Central Bank has ended. Its results did not come as a surprise to experts. The Reserve Bank kept the rate at the current level of 0.25%. The asset purchase program was also left at $ 100 billion. The Central Bank did not make any changes to the existing terms of the loan program. In a statement, the regulator said that these programs will continue to operate until the middle of next year.
The Reserve Bank of New Zealand has reiterated that it does not plan to make policy adjustments until inflation and employment hit targets. And this will take a lot of time. The Central Bank also noted that there is currently an increase in inflation. However, it will be temporary, as it is caused by the rise in oil prices and problems in supply chains. The Reserve Bank expects the situation in the residential real estate market to stabilize. The rate of growth in housing prices will slow down due to the new government policy in this area.