New Zealand raises interest rates through EFE for the first time in seven years

Sydney (Australia), October 6 (.) Securing the housing market and labor market in the maritime country.

The Reserve Bank of New Zealand has kept interest rates at a minimum of 0.25 percent due to the economic and health crisis caused by the Govt-19 epidemic. City of Auckland.

The bank’s committee decided that “monetary stimulus policy should be reduced to maintain price stability and maximum medium-term employment stability”, as well as to curb rising house prices in New Zealand, which is one of the most serious social problems in the country.

The regulator has forecast that inflation in New Zealand will rise to more than four per cent in the short term, before it falls within the expected range of two per cent in the medium term.

The last rise in interest rates since July 2014 was 3.5 percent.

With this decision, New Zealand follows in the footsteps of South Korea, the first of the largest Asian economies to raise interest rates by 0.25 percentage points to 0.75 percent.

The results of the South Korean monetary system, the first increase in almost three years, have responded to the economic recovery and home loan situation in this Northeast Asian country.

On the other hand, the US Federal Reserve kept interest rates between 0% and 0.25% last month, but indicated that it could withdraw the cash incentive “sooner” by reducing the monthly bond purchase volume.