RBNZ report on supplementary tools

The Reserve Bank of New Zealand and the Treasury on Thursday 6 April released a joint report on possible additional instruments to supplement the role of interest rates in managing demand pressures and inflation.

This report, prepared under terms of reference issued in November 2005, was prompted by the recent strength and persistence of domestic household demand, the scale of the accompanying external imbalances, and the key role played by the house price cycle.

In calling for this report, it

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