Shadow Board says hold interest rates low

30 January 2013

“The NZIER Shadow Board says holding the official cash rate at 2.50 percent is the right call,” said Dr Kirdan Lees, Head of Public Good Research at NZIER.”

“Inflation is at historical lows, tempered by a high exchange rate and weak household demand that means firms are struggling to pass on cost increases. The economic recovery has little momentum and unemployment remains high. In most areas of the economy, there is ample spare capacity.”

You can read the full release here.

Go Back