The effects of last week's 50 basis point OCR cut, probably won't be felt until next year - by which point the economy will already be growing
The effects of last week's 50 basis point OCR cut, probably won't be felt until next year - by which point the economy will already be growing
17 October 2025
That's according to economic consultancy Infometrics - who say the Reserve Bank is walking a fine line between kick-starting the economy and over-stimulating it.
Independent economist Cameron Bagrie says you can argue both sides - but the bank should be careful.
He says the bank decided to up the ante after a weak Q2 GDP result - but they're aware headline inflation is moving up.
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