Scoop has an Ethical Paywall
Work smarter with a Pro licence Learn More

Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

OCR Remains Unchanged At 3.5%

OCR Remains Unchanged At 3.5%


The Reserve Bank announced this morning that the official cash rate will remain unchanged at 3.5%.

Reserve Bank governor Graeme Wheeler stated that interest rate hikes have been ruled out due to inflation sitting at just 0.1 per cent which reflects plunging oil prices.

Wheeler suggested that a rate cut could be on the cards and that any future adjustments will depend on how inflationary pressures evolve.

“It would be appropriate to lower the OCR if demand weakens, and wage and price-setting outcomes settle at levels lower than is consistent with the inflation target.”

Mike Pero Real Estate CEO Mike Pero believes the unchanged rate is positive for both buyers and sellers.

“Although we could expect a rate cut later in the year, the good news for those selling their houses is that demand will continue to be strong as buyers will continue to have access to low rate mortgages.”

ENDS

Advertisement - scroll to continue reading

Are you getting our free newsletter?

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.

© Scoop Media

Advertisement - scroll to continue reading
 
 
 
Business Headlines | Sci-Tech Headlines

 
 
 
 
 
 
 
 
 
 
 
 

Join Our Free Newsletter

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.