Reserve Bank of New Zealand Governor on Rate Hike, Growth

The transcript discusses the Reserve Bank's decision to gradually reduce bond holdings and monetary stimulus to maintain price stability and support employment. It highlights global economic challenges, including rising inflation and slowed growth due to COVID-19. New Zealand's economy remains strong, supported by fiscal measures and high vaccination rates, despite short-term disruptions. Inflation pressures are driven by high import costs and capacity constraints. The committee anticipates further monetary stimulus removal, considering growth and inflation risks.

What actions did the committee agree to take regarding the Reserve Bank's bond holdings?

How is the level of global economic activity affecting inflation pressures?

What factors are contributing to the economic disruption expected in New Zealand?

What is the committee's outlook on inflation and its target range?

What are the expected impacts of high imported costs on inflation pressures?