Reserve Bank Governor Adrian Orr has announced the official cash rate will stay unchanged at 0.25 per cent, in line with market expectations. Photo / Mark MitchellThe Reserve Bank has left the Official Cash Rate on hold at 0.25 per cent in its first Monetary Policy Statement for the year. In the statement, released at 2pm, Reserve Bank Governor Adrian Orr said prolonged monetary stimulus was necessary and the outlook "remained highly uncertain". "Households and businesses also benefitted from significant fiscal and monetary policy support, bolstering their cash-flow and spending." The Monetary Policy Committee agreed that inflation and employment would likely remain below its remit targets over the medium term in the absence of prolonged monetary stimulus.

Source: New Zealand Herald February 24, 2021 01:06 UTC