RBNZ Monetary Policy Review and official cash rate announcement. OCR remains at 5.5% as basically unanimously expected.

RBNZ forecasts:

  • Official cash rate at 5.54% in December 2023 (vs. prior at 5.5%)
  • Official cash rate at 5.57% in September 2024 (vs. prior at 5.43%)
  • TWI NZD at around 71.0% in September 2024 (vs. prior at 71.5%)
  • Annual CPI 2.7% by September 2024 (vs. prior at 2.7%)
  • Official cash rate at 5.5% in December 2024 (vs. prior at 5.3%)
  • Official cash rate at 3.38% in September 2026

From the Bank:

  • The current level of interest rates is constraining spending and hence inflation pressure, as anticipated and required
  • Committee agreed that the OCR needs to stay at restrictive levels for the foreseeable future
  • New Zealand economy is evolving broadly as anticipated
  • Headline inflation and inflation expectations have declined, but measures of core inflation remain too high
  • In the near term, there is a risk that activity and inflation measures do not slow as much as expected
  • Committee is confident that with interest rates remaining at a restrictive level for some time, consumer price inflation will return to within its target range of 1 to 3% per annum

Still to come is RBNZ Governor Orr's news conference at 0300 GMT (11pm US Eastern time)


Background to this is here:

I'd give y'all a link to the relevant part of the RBNZ website but its down.

rbnz website down 16 August 2023

Unless that is the Statement? ;-)