Impact of Reserve Bank's FLP difficult to measure: Bascand

Jenny Ruth
Tue, 24 Aug 2021

Impact of Reserve Bank's FLP difficult to measure: Bascand
Reserve Bank deputy governor Geoff Bascand said RBNZ needs to ease off the accelerator. (Image: Getty)
Jenny Ruth
Tue, 24 Aug 2021
Hiking the official cash rate to tighten monetary policy, rather than dispensing with the funding-for-lending programme (FLP), has a much more certain impact on the economy, said Reserve Bank deputy governor Geoff Bascand.Raising the Official Cash Rate (OCR) provides "much more predictability … we know the impact it will have on short rates," Bascand told BusinessDesk.While there are various ways to estimate the impact of the FLP and, in theory, ending it would be a tightening of monetary policy, "one doesn't really kn...

Not convinced yet?

Subscribe to our Daily News Update free newsletter.

Business Advice
The brains making magic for Kiwi brands
Daniel Dunkley | Wed, 06 Jul 2022

A rebrand can build value, give a company more impact and better reflect its beliefs. But how do you do it?

Supie faces fight for online grocery market share
Dan Brunskill | Wed, 06 Jul 2022

Unlike many start-ups, Supie has big competitors already expanding their services to defend against disruption. 

On wholesale: ruling highlights risk in regulatory bargains
David Chaplin | Wed, 06 Jul 2022

Justice Gault's ruling suggests promoters should be wary of relying on claims of a sophisticated client base when shilling complex, or opaque, investment products to even the average ‘wholesale’ audience.

How can Kiwi small business owners manage rising inflation?

Xero MD Craig Hudson says small businesses have been hit with a triple whammy.

Digital innovation could shape the future of NZ

The digital age allows us to collaborate on some of our greatest scientific and environmental challenges