16 May 2013

Reserve Bank bill plucked from ballot again

1:13 pm on 16 May 2013

For the second time, a Member's bill has been drawn which would make the Reserve Bank take more account of the exchange rate.

The bill, in the name of New Zealand First leader Winston Peters, would broaden the economic factors the bank has to consider when it adjusts interest rates.

Currently the Reserve Bank's focus is almost solely on inflation.

Mr Peters says a change is vital so the exchange rate can be lowered, to take pressure off the export sector.

In October, the bill was defeated by one vote.

It will now be re-introduced to the House for debate on an upcoming Members' day.