We’re inclined to take Prime Minister Hipkins at his word that the New Zealand government will hand down a fiscally responsible budget next week. We expect government priorities, including cost-of-living relief and cyclone-related reconstruction, to be funded in large part through spending reprioritisation. Elsewhere, newly unveiled RBA staff analysis suggests that monetary policy in Australia is not particularly restrictive. Nonetheless, given the Bank’s desire to keep the economy on an even keel, we think its tightening cycle is probably at an end.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to gain:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services