Most of the Western world is still “fighting off anaemic growth… with near-zero interest rates”, says Andy Mukherjee on Breakingviews. Not New Zealand. It is enjoying such strong growth that its central bank hiked rates last week.
The main rate rose from 2.5% to 2.75%, and the bank said another 2% or so of rate hikes would be needed to keep a lid on inflation over the next two years.
Sharply rising dairy prices, fuelled by Chinese demand, are boosting export earnings. Consumer confidence has risen as unemployment has fallen to a four-year low of 6%. A buoyant [...]
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