Nicola Willis: Finance Minister on the Reserve Bank's decision to hold the OCR

About this episode

National Party Finance Spokeswoman Nicola Willis said the Official Cash Rate not going up is "positive news for the economy". The Monetary Policy Committee (MPC) was split 4-3 in its decision to hold the rate at 2.75% yesterday. Willis told Ryan Bridge that the Reserve Bank said yesterday inflation was not as high as it previously forecast. "Ultimately, this is positive news for the economy because lower interest rates mean lower debt servicing costs for mortgage holders and for businesses." With so much uncertainty around the globe, it is important that New Zealand controls its own domestic response, Willis said. "We know from our last experience through Covid that when governments keep…