Karen Silk: New Zealand's Monetary Policy Implementation Framework

Speech by Ms Karen Silk, Assistant Governor of the Reserve Bank of New Zealand, at the KangaNews New Zealand Debt Capital Market Summit 2022, Auckland, 7 September 2022.

The views expressed in this speech are those of the speaker and not the view of the BIS.

Introduction

E ngā mana, e ngā reo. E ngā karanga maha o te wā.

Tēnā koutou, tēnā koutou, tēnā koutou katoa,

It is great to be here with you all today. I would like to start by acknowledging KangaNews for their continued support of New Zealand's capital markets and for hosting today's event.

I would also like to acknowledge my colleagues who have given an address at this forum over the last two years, covering the changes to the composition of our balance sheet during the pandemic, as well providing an overview of the key strategic drivers of our balance sheet into the future. This speech builds on what was covered in those addresses, with a focus on our monetary policy implementation framework.

Today, I will talk about two aspects of this monetary policy implementation framework: first, I will outline the changes that we needed to make during the pandemic in order to implement monetary policy effectively; and second, I will talk about how we plan to use this framework into the future.