New Zealand's Bollard warns on inflation risks

A number of international price shocks are posing a threat to price stability in New Zealand, said Alan Bollard, the governor of the central bank.

Bollard told businessmen in Christchurch: "Inflation pressures in New Zealand have been significantly boosted by the shock to personal consumption from the housing boom and the rundown in household savings. Soaring global dairy prices have added to these pressures by boosting farm incomes. Higher prices for oil and other imported raw materials have

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