The Reserve Bank of New Zealand (RBNZ) will retain its neutral stance when it keeps rates on hold at its meeting on Wednesday the 27th March 2019. The softening in GDP growth in the second half of 2019 will have come as a disappointment to the Bank. But given the tight labour market and gradual firming in underlying inflationary pressures, we don’t think the RBNZ will feel any need to lower interest rates. Instead, our view is that they will just leave rates on hold until late 2021.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services