Economics
RBNZ Holds Rates, Ready to Deliver More Stimulus If Needed
- Central bank maintains quantitative easing at NZ$60 billion
- Will outline readiness to deploy alternative tools in August
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New Zealand’s central bank maintained the size of its quantitative easing program and kept interest rates at a record low but said it is open to further stimulus if required to counter the impact of the coronavirus pandemic.
“The Monetary Policy Committee is prepared to provide additional stimulus as necessary,” the Reserve Bank said Wednesday in Wellington after holding the official cash rate at 0.25% and keeping its Large Scale Asset Purchase program at NZ$60 billion ($39 billion). “As well as potentially expanding the LSAP program, the committee continues to prepare for the use of additional monetary policy tools as needed.”