RBNZ Minutes: Committee agreed to maintain its approach of briskly lifting the OCR

Members noted that the New Zealand dollar exchange rate has depreciated

Committee agreed to maintain its approach of briskly lifting the OCR.

Committee noted that the weaker New Zealand dollar is continuing to have an impact on New Zealand dollar import prices.

Committee remains broadly comfortable with the projected path of the OCR outlined in the recent may monetary policy statement.

Members agreed that the increase in mortgage interest rates will assist to bring house prices more in line with sustainable levels.

Committee viewed this strategy as consistent with achieving their primary inflation and employment objectives.

Noted that while there are near-term upside risks to consumer price inflation, there are also medium-term downside risks to economic activity.