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Business Weekly Economic Report
Rats and mice
Monday, 23 November 2009
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Over the next week, a large number of second-tier releases are due both here and overseas. For NZ there is little key data heading towards the December Monetary Policy Statement.
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From the RBNZ’s narrow perspective credit growth has been happening in the areas it would prefer not to see strong growth occurring in, namely household and agriculture.
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The RBNZ would be concerned if household credit growth started to take off, saying in its October statement that "the current composition of [housing-led] growth continues to raise questions about its sustainability. These concerns would intensify if credit growth began to propel stronger domestic demand.”
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Report Prepared by:
Jane Turner
ASB Economist
Phone: +64 9 374 8185
Fax: +64 9 302 0992
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