IMF gives the New Zealand economy a tick of approval ... but concerned on the house price bubble
An International Monetary Fund staff report, says:
- New Zealand's sound management of covid-19 has enabled faster-than-expected economic recovery
- while no additional stimulus needed, fiscal and monetary support should not be withdrawn prematurely
- NZ economy is expected to continue recovering in the near term at a more moderate pace
- NZ inflation is only expected to durably reach 2% in 2023
- New Zealand's unsustainable house prices could trigger an eventual, pronounced correction
The IMF comments on NZ's economy and policy are nothing new really, The warning on the housing bubble is pretty vanilla too.
Who runs that place now anyway???