Following the Reserve Bank’s decision to decrease the OCR to 2.25 percent, banks have started lowering their floating rates. Willis expressed her hope that these rate cuts would benefit mortgage-holders and contribute to economic growth.
During a speech in Auckland, Willis urged banks to pass on the rate cuts to customers, highlighting the positive impact on the economy. She emphasized the role of banks as major contributors to the economy and encouraged them to support borrowers by reducing home loan rates.
The Reserve Bank’s forecasts indicate a balanced outlook for inflation, with expectations of economic improvement in the coming year. Willis shared her optimism about the economy’s prospects and anticipated a decrease in inflation, leading to a lower cost of living for New Zealanders.
While acknowledging the need for individuals to experience the economic improvements firsthand, Willis reassured the public that better times are ahead. She commended New Zealanders for their resilience and expressed confidence in a brighter future for the country.
As New Zealand prepares for economic recovery, Willis urged banks to prioritize passing on rate cuts to customers, emphasizing the positive impact on households and the economy as a whole.
