1 July 2009

Media release – Finance and Expenditure Committee

Decision not to initiate inquiry

Today the Finance and Expenditure Committee, by majority, voted against initiating an inquiry into the relationship between the official cash rate and short term interest rates.

The committee also decided, by majority, not to initiate an inquiry into recent banking practices, including a particular focus on retail interest rate margins.

The committee received a briefing from the Reserve Bank of New Zealand at its meeting today.

ENDS