Central Bank Will Wait and See
At its October board meeting, the Reserve Bank of New Zealand (RBNZ) left the official cash rate (OCR) hold at 2.5 per cent.
The decision by the RBNZ demonstrates its ‘wait and see’ approach, expected to carry through to early 2012.
“Given the ongoing global economic and financial risks, it remains prudent to continue to keep the OCR on hold” Mr Bollard said.
The current market conditions suggest that there is no urgency for the RBNZ to make any changes to the rate cut adopted in March.
The big banks are still competing hard for new business, and are expected to continue their competition, which is good news for home buyers.
For more information on interest rate movements inNew Zealandand how you may be affected, book a free home loan assessment with an expert mortgage broker from Loan Market today.
Loan MarketTags: Allan Bollard, Loan Market, OCR, RBNZ, Reserve Bank of New Zealand