The Reserve Bank of New Zealand has published an article on unconventional monetary policy (Bulletin article discusses unconventional monetary policy since the Global Financial Crisis)
- RBNZ says it has significant room to ease in a conventional way
- Is not projecting a significant decrease in the official cash rate (OCR)
- Says conventional policy remain effective
- Rate could be lowered into modestly negative territory'
- targeted term lending facilities could be introduced
NZD had a quick dip (a few points) but cooler heads have prevailed - this is a think piece from the RBNZ not a guide to current policy - NZD back to where it was now.
