Rt Hon Winston Peters
New Zealand First Leader
20 September 2012

New Reserve Bank Policy Tries to Solve Non-Existent Problems

New Zealand First says the Reserve Bank’s new Policy Targets Agreement commits New Zealand’s economy to failure by not addressing its biggest problem – our seriously overvalued dollar.

Rt Hon Winston Peters says the agreement fiddles around with an inflation focus even though inflation as a problem was beaten years ago.

“Why try and solve yesterday’s problems?

“There is nothing in this agreement between Finance Minister Bill English and incoming Reserve Bank Governor Graeme Wheeler which will do anything to dampen our overvalued dollar.

“There is no help for manufacturers. No help for exporters. In fact nothing at all except tired old economic philosophies that have been debunked a long time ago.

“It will mean more job losses not just from the manufacturing and export sector but also in associated towns and communities which rely heavily on these industries.

“The Government must reconsider its opposition to our Private Members Bill - the Reserve Bank of New Zealand (Amending Primary Function of Bank) Amendment Bill – which would give the bank the flexibility it needs to help our export-reliant economy,” says Mr Peters.

ENDS

© Scoop Media