Alan Bollard, Governor of the Reserve Bank of New Zealand (RBNZ), has stated that he wants to see new taxation measures ensure that New Zealand adequately handles property taxation, to prevent a housing caused economic lull. Alan Bollard made comment on November 11th regarding New Zealand’s reliance on debt-fueled property investments. Though he did not go into specifics, he made it clear that it is the belief of the Reserve Bank that tax measures should be instated that would reduce the relative ... Read More

The New Zealand economy is showing definite signs of recovery, though warnings have been given not to over-estimate its pace. According to statements made by John Key, New Zealand Prime Minister, and reports by the New Zealand Reserve Bank, the economy will continue to recover over the second half of 2009. The Prime Minister said that the New Zealand GDP in the fourth quarter will be “quite good” and that the third quarter figure “won't be bad either”. The recovering economic figures ... Read More

The New Zealand Official Cash Rate (OCR) remains unchanged, as of its 29th of October review. On the 29th of October it was revealed that the Reserve Bank of New Zealand has decided to maintain the New Zealand OCR at 2.5%. The review was the fourth which had led to an unchanged OCR, the last alteration being on the 12th of March 2009. According to Alan Bollard, Reserve Bank Governor, there seemed to be no reason to withdraw the monetary policy stimulus. ... Read More

Statements made by Alan Bollard indicate a possible creation of a property speculation tax. In a statement on the 10th of September, Alan Bollard, Reserve Bank Governor stated that he would support the introduction of a property speculation tax in New Zealand. He provided no firm mechanics on any such possible system, but a brief overview of the idea was described. Levies could be imposed on owner unoccupied housing, possibly immediately or if sold within a preset time period. The idea behind such ... Read More