Reserve Bank of New Zealand Assistant Governor McDermott remarks in a radio interview, reported by Bloomberg:

  • Immigration hasn't added to inflation
  • Consumer spending has been constrained
  • Business, government also not spending
  • Relative to the rest of the world NZ is doing very well
  • Concerned housing market is over valued
  • Stock market is not a financial stability threat
  • Inflation will naturally rise to the 1 to 3 percent zone
  • Will do what is appropriate to get inflation higher
  • Does not think we are going to get to zero rate
  • Monetary policy still works