Central Banks
RBNZ’s Hawkesby Open to Cash Rate Above 4% to Tame Inflation
- Deputy Governor speaks in interview with Bloomberg News
- Cash rate peak ‘could be 4%, it could be 4.25%’: Hawkesby
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New Zealand’s central bank is open to the possibility of raising its benchmark rate as high as 4.25% amid uncertainty over the amount of tightening needed to regain control of inflation.
The Reserve Bank’s forecast track for the Official Cash Rate shows a peak of 4.1% in mid-2023, which means there’s a risk of it climbing to 4.25%, Deputy Governor Christian Hawkesby said in an interview with Bloomberg News Monday in Wellington.