RBNZ's Hawkesby says the Bank needs to do even more to lower inflation

Reserve Bank of New Zealand Deputy Governor Christian Hawkesby:

• the shortage of workers is the most pressing constraint on the economy
• we need to do more to lower inflation
• so far the higher rates have had little impact
• the natural rate has risen
• the Bank needs to keep up with inflation

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The RBNZ was way pout ahead of most other DM central banks with early rate hikes. Hawkesby says even more needs doing.

I posted yesterday that

• the RBNZ is hiking rates into a recession.

That message was repeated by Governor Orr earlier:

• inflation, expected inflation too high, needs to be reduced

The Reserve Bank of New Zealand next meets on February 22. Its looking like another rate hike is being baked in.