NZD up a tickle on this ... if the RBNZ wants to further slow property price growth then they'd have to do something else
(like a rate hike, yeah? ... which seems to be the mkt perception, hence NZD a touch better bid)
From the bank (bolding mine):
- The Reserve Bank today published a consultation paper seeking feedback on serviceability restrictions such as debt to income (DTI) limits being added to its macro prudential toolkit.
- The consultation paper outlines the Reserve Bank's view on these issues.
- The paper states that the Bank would not implement a DTI policy in current market conditions, but that the Bank considers that DTI limits could be a useful option in the future.
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A debt-to-income policy would be an attempt to limit borrowings for property buying
