Reserve Bank of New Zealand holds overnight cash rate at 1.75%, says stance neutral

  • RBNZ says risks at home and abroad suggest cautious policy
  • Monetary policy to remain accomodative
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The Reserve Bank of New Zealand on Thursday held its overnight cash rate at a record low 1.75 percent as expected and said the stance for monetary policy is neutral though it would adjust policy if new conditions warrant.

"Developments since the February Monetary Policy Statement on balance are considered to be neutral for the stance of monetary policy," Governor Graeme Wheeler said in a statement.

"Monetary policy will remain accommodative for a considerable period. Numerous uncertainties remain and policy may need to adjust accordingly."

The New Zealand dollar was quoted down 0.67 percent against the U.S. dollar in early trade to 0.6844.

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