Inflation-taming: the costs are becoming more visible

Double act: how the Reserve Bank and the government behave to one another's signals is crucial. (Image: Getty)

Fri, 19 Aug 2022

Higher interest rates and preparedness to get on with the job by lifting rates at pace were the big takeaways from yesterday’s Reserve Bank of New Zealand (RBNZ) monetary policy statement. Here are some other titbits:A close shaveThe RBNZ forecasts are as close to a technical recession as you can get without explicitly putting it in the numbers. Expect others to follow that lead.Real growth in the gross domestic product in the middle of 2023 over two quarters is 0.1%, barely positive.Annual growth over 2023 is 0.7% and 0.5% to March...

Subscribe to BusinessDesk

Stay informed on business, government and financial developments across New Zealand.

Deeply researched, twice-edited and fact-checked news
Annual subscribers also receive a complimentary subscription to The Wall Street Journal
Personalised email news alerts, plus gift up to 5 stories a month to non-subscribers

You can cancel anytime with two clicks, an email or a phone call.
Find out more.

We are serious about journalism.

Already a Subscriber ? Sign in here.

Name {{ registerForm.errors.get('name') }}

Email address {{ registerForm.errors.get('email') }}

Phone Number {{ registerForm.errors.get('phone') }}

Job Title {{ registerForm.errors.get('title') }}

Password Minimum password length of 8 characters.
Require at least one upper and lowercase, numeric, and special character. {{ registerForm.errors.get('password') }}

Repeat password {{ registerForm.errors.get('password_confirmation') }}

We had trouble validating your card. It's possible your card provider is preventing us from charging the card. Please contact your card provider or customer support.

Credit Card

Cardholder's name

{{ __(plans[index].name) | capitalize }} {{ plans[index].attributes.old_price | currency }} {{ plans[index].price | currency }}

All subscriptions auto renew but are easy to cancel.

I Accept The Terms Of Service

{{ registerForm.errors.get('terms') }}

Tax: {{ taxAmount(selectedPlan) | currency }}

Total Price Including Tax: {{ priceWithTax(selectedPlan) | currency }} {{ selectedPlan.type == 'user' && spark.chargesUsersPerSeat ? '/ '+ spark.seatName : '' }} {{ selectedPlan.type == 'user' && spark.chargesUsersPerTeam ? '/ '+ __('teams.team') : '' }} / {{ __(selectedPlan.interval) | capitalize }}

Primary Sector

Seabed miner wants to list on the NZX

The mining project has been one of the most hotly contested in NZ.

Ian Llewellyn 7:10am

Law & Regulation

Mixed opinions on future of Huntly

Large users and gentailers are at odds with independents over maintaining coal plant.

Ian Llewellyn 5:00am

Opinion

Pattrick Smellie: Naming Adrian Orr's successor is past overdue

An appointment is imminent. It has taken too long.

Pattrick Smellie 5:00am

Naming Adrian Orr's successor is past overdue

Sponsored

AI agents: opportunity or graveyard? Spark’s five-point playbook for success

Artificial intelligence agents – autonomous digital entities that analyse data, automate decisions, and act independently – are set to drive a new wave of business transformation.

Spark Enterprise

Sponsored