Acting governor Grant Spencer announced today that the Reserve Bank has left the Official Cash Rate (OCR) unchanged again at 1.75 percent.
"House price inflation continues to moderate due to loan-to-value ratio restrictions, affordability constraints, and a tightening in credit conditions," Spencer said.
"This moderation is expected to continue, although there remains a risk of resurgence in prices given population growth and resource constraints in the construction sector".
As in previous Reserve Bank announcements, Spencer indicated monetary policy will remain accommodative for a considerable period and that numerous uncertainties remain.