New Zealand central bank chief says pleased with current policy

[WELLINGTON] The head of New Zealand's central bank on Thursday said he was "pleased" with where policy was at present, having cut interest rates by a sharp 50 basis points earlier this month.

Reserve Bank of New Zealand Governor Adrian Orr told Bloomberg TV in Wyoming that the cut to 1 per cent allowed them to get ahead of any economic slowdown and reduce the probability of having to do a lot more later.

"So we're pleased with where we are," Mr Orr said.

The New Zealand dollar rose 0.3 per cent to US$0.6383 as the market interpreted the comment to mean there was less chance the central bank would ease policy again at its next meeting in late September.

REUTERS