Following all the bad news regarding the economy and high interest rates and inflation, the latest Official Cash Rate (OCR) announcement which saw the first reduction in the OCR since March 2020, has come as a welcome change for businesses and households alike.

This OCR reduction to 5.25 per cent, along with predictions that there are more cuts to come, has signalled a slightly more positive outlook for many businesses who have been plagued by significant economic pressures for a very long time. The economic climate remains very challenging with the Reserve Bank of New Zealand ‘s (RBNZ) strict monetary policy having been in place for so long, indeed many economists believe that the RBNZ maintained its monetary policy for too long as it battled to get inflation under control.

The OCR announcement is no immediate fix as it’s going to take time to see the benefits of the reduction in interest rates that the banks have made in response to the lowering of the OCR, but it’s a step in the right direction.

Additionally, in more positive news, there has been a recent fall in inflation to 3.3 per cent, which is almost at the 1 – 3 per cent level that the RBNZ was aiming to achieve by its monetary policy, giving us all more hope that we are finally turning the corner.

Once again, I ask that you please continue to support your local business community by shopping locally whenever you can.

Business North Harbour Staff Contacts
Kevin O’Leary – General Manager
Bernadette Roberts – Marketing & Events Manager
Sandra Craze – Transport Projects
Dave Loader – Crime Prevention Specialist
Kate Thorpe – Office Manager

Business North Harbour Office
Telephone: 09 968 2222
Address: Level 1, 322 Rosedale Road,