Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search


Cullen sends shot across Bollard’s bow

Hon Bill English MP
National Party Deputy Finance Spokesman
28 September 2006

Cullen sends shot across Bollard’s bow

National Deputy Finance spokesman Bill English says Michael Cullen has sent a shot across Reserve Bank Governor Alan Bollard’s bow over the prospect of interest rate rises ahead of the next election.

During in an interview in London with Bloomberg newswire, Dr Cullen said the Reserve Bank won’t raise interest rates again, though it may not cut them until 2008.

‘The general consensus is that rates will not be raised, but that the beginning of the easing part of the cycle has been pushed off further into next year, possibly even into early 2008,’ Dr Cullen said. ‘I think that’s really what the bank was saying.’

“Dr Cullen is desperate that Dr Bollard not raise rates ahead of the 2008 election, because such a hike would hurt Labour’s re-election chances,” says Mr English.

“So he has delivered a strong message to Dr Bollard that he shouldn’t be thinking about raising interest rates.

“But Dr Cullen should be mindful of Dr Bollard’s independent position.

“It is Dr Bollard - not the Finance Minister – who decides whether to raise rates, hold them, or lower them.

“Otherwise why bother having an independent Reserve Bank Governor? Dr Cullen should respect the independence of the position.”


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines


Ruataniwha: DOC, Hawke's Bay Council Developer Take Supreme Court Appeal

The Department of Conservation and Hawke's Bay Regional Investment Company (HBRIC) are appealing to the Supreme Court over a conservation land swap which the Court of Appeal halted. More>>


With NZ's Marama Davidson: Women’s Flotilla Leaves Sicily – Heading For Gaza

Women representing 13 countries spanning five continents began their journey yesterday on Zaytouna-Oliva to the shores of Gaza, which has been under blockade since 2007. On board are a Nobel Peace Laureate, three parliamentarians, a decorated US diplomat, journalists, an Olympic athlete, and a physician. A list of the women with their background can be found here. More>>

Gordon Campbell: On The Key Style Of Crisis Management

At Monday’s post Cabinet press conference Key was in his finest wide- eyed “Problem? What problem?” mode. No, there wasn’t really a problem that top MPI officials had been at odds with each other over the meaning of the fisheries policy and how that policy should be pursued... More>>


Mt Roskill: Greens Will Not Stand In Likely Post-Goff By-Election

“The Green Party’s priority is changing the Government in 2017, and as part of that we’ve decided that we won’t stand a candidate in the probable Mt Roskill by-election... This decision shows the Memorandum of Understanding between Labour and the Green Party is working." More>>


Wellington: Predator Free Capital Plan

Wellington City Council (WCC), the Greater Wellington Regional Council (GWRC) and NEXT Foundation, today announced a joint collaboration to make Wellington the first Predator Free capital city in the world. More>>


Gordon Campbell: On Judith Collins’ Efforts At Self Correction

Thousands of prisoners currently in prison may be entitled to an earlier release than expected – and compensation – because Corrections has incorrectly calculated their term of imprisonment. Unless of course, the government buries its mistakes by changing the law and retro-actively getting itself off the hook… More>>


More Justice & Corrections

Sector Opposes Bill: Local Government Bill Timeframe Extended

The Minister of Local Government Peseta Sam Lotu-Iiga has asked the Select Committee to extend the report back date for the Local Government Act 2002 Amendment Bill (No 2). More>>


Get More From Scoop



Search Scoop  
Powered by Vodafone
NZ independent news