NZ dollar 'undesirably high' says Bollard
Reserve Bank governor fronts to Parliamentary select committee.
New Zealand’s dollar is “unhelpfully high” Reserve Bank governor Alan Bollard told MPs this afternoon.
However the high currency is mostly due to decisions made in Washington and (© Copyright Protected - The National Business Review 54) Beijing, Dr Bollard said.
The governor and his officials appeared at the finance and expenditure select committee
Dr Bollard sad the New Zealand economy would be “better off if it were lower (© Copyright Protected - The National Business Review 35) but there is not a lot New Zealand can do if economies world wide are running the kind of monetary and exchange rate regimes they are running".
He especially m mentioned the quantitative easing (© Copyright Protected - The National Business Review 11) in the United States abut also the Chinese government’s long term policy of a low exchange rate.
The New Zealand/ Us dollar cross rate would recover once the US economy showed signs of (© Copyright Protected - The National Business Review 64) improving and also the US authorities “get back to a more conventional monetary policy."
Rob Hosking
Wed, 11 May 2011
Wed, 11 May 2011
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NZ dollar 'undesirably high' says Bollard
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