Reserve Bank's Orr: Cutting OCR in light of cyclone 'makes no sense'

Reserve Bank's Orr: Cutting OCR in light of cyclone 'makes no sense'
RBNZ governor Adrian Orr was grilled by MPs. (Image: Getty)
Riley Kennedy
Reserve Bank of New Zealand governor Adrian Orr says cutting interest rates in light of Cyclone Gabrielle “makes no sense”.Orr, flanked by his chief economist Paul Conway and assistant governor Karen Silk, made the comments this morning while being questioned by MPs at the Financial and Expenditure Select Committee at Parliament.Yesterday, the Reserve Bank of NZ (RBNZ) lifted its official cash rate (OCR) by 50bp to 4.75%.The RBNZ is mandated with keeping inflation between 1% and 3%. It's now running at 7.2% and the central bank...

More Finance

Life insurance market shrinks
Finance Risky Business

Life insurance market shrinks

Foreign firms dominate as affordability, tax and access barriers stymie growth.

Craigs beefs up in Hawkes Bay, eyes further expansion
Finance

Craigs beefs up in Hawkes Bay, eyes further expansion

Craigs looks to further expansion as it confirms the Somerset Smith Partners deal.

Court funding miss ‘undermines market confidence’
Finance

Court funding miss ‘undermines market confidence’

Plenary and Infrastructure NZ wrote to ministers over PPP ‘disappointment’.

Oliver Lewis 17 Sep 2025
Phasing out $6b capital layer unlikely to dent banks’ ratings
Finance

Phasing out $6b capital layer unlikely to dent banks’ ratings

Banks’ credit ratings likely unmoved if Additional Tier 1 capital phased out. 

Andy Macdonald 17 Sep 2025