OCR cut but warnings about inflation, unemployment
RNZ
A cut to the official cash rate, but warnings about the strength of the economy from the Reserve Bank yesterday. The Central Bank committee cut the OCR by 25 basis points, or a quarter of a per cent, to 3.25 percent. The committe voted 5 to 1 for the cut. Its accompanying statement predicts more jobs in time, but that in the short term the labour market will remain weak and inflation will rise.
Kathryn speaks with BNZ's head of research, Stephen Toplis.
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