The monetary policy post from the Reserve Bank of New Zealand is here:
And a note on the NZD imp[act so far:
Just a few more of the notable comments from the RBNZ (via their statement and minutes, the link to the full things are in that first post above):
RBNZ says the funding for lending programme (FLP) unchanged
- says economic activity in New Zealand slowed over the summer months
- says planned trans-Tasman travel arrangements should support incomes and employment (i.e. this is 'travel bubble' with Australia)
- says medium-term inflation and employment would likely remain below its remit targets in the absence of prolonged monetary stimulus.
- says extent of the dampening effect of the government's new housing policies on house price growth will take time to be observed
- outlook remains highly uncertain
- reduced government bond issuance was placing less upward pressure on new Zealand government bond yields and providing less scope for LSAP purchases
- business credit growth and investment remains subdued
- government's new housing policies are likely to dampen house price growth
- committee judged the medium-term outlook for growth as broadly similar to the scenario presented in the February .
- increase in bank lending rates would be premature given the current economic outlook
- committee noted evidence that near-term price increases are likely
- will see headline inflation exceed 2 percent for a period
- impact on inflation from supply chain disruptions and oil price increases to be temporary.
- the committee's initial assessment is that stimulatory monetary policy is playing a role in lifting house prices
- other factors are also influencing house prices
