RBNZ Governor Adrian Orr said in a Bloomberg interview today that he’s currently “targeting a low and flat yield curve through the purchases bonds.” The central bank “does not want to go to negative rate at this point”. It’s “prepared to go to negative rate but a lot later” And it remains one option for RBNZ.
Also, he reiterated the view that “the operational challenge still remains with some banks still working on being able to actually operate with negative official cash rate and negative wholesale rates”.
