More from Reserve Bank of New Zealand Governor Orr – "its complicated …"

<p>Greg had the headline remarks from Reserve Bank of New Zealand Governor Orr earlier:</p><ul><li><a href="https://www.forexlive.com/centralbank/rbnz-gov-orr-inflation-remains-to-high-20231219/" target="_blank" rel="follow" data-article-link="true">RBNZ Gov. Orr: Inflation remains too high.</a></li></ul><p>Orr was speaking to a committee of the NZ parliament. </p><p>He addressed the very weak Q3 GDP, which showed contraction for the economy:</p><ul><li><a href="https://www.forexlive.com/news/new-zealand-q3-gdp-03-qq-vs-02-expected-20231213/" target="_blank" rel="follow">New Zealand Q3 GDP -0.3% q/q (vs. +0.2% expected)</a></li></ul><p>He said that the surprisingly weak data was a "complex situation", and the Bank will have plenty to consider before the next interest rate decision:</p><ul><li>employment data will weigh into their decision</li><li>interest rates continue to constraint spending</li><li>the RBNZ remains wary of inflationary surprises</li><li>
"There's still a long way to go, particularly with the level
of core inflation, or homegrown inflation, still remaining too
high," </li><li>One of the biggest challenges is that migration in New
Zealand is currently at record high levels, which is boosting
overall spending and putting pressure on demand and core inflation</li></ul>

This article was written by Eamonn Sheridan at www.forexlive.com.