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RBNZ's Bascand: Asked banks to be ready by end of year for negative rates

We have asked banks to be ready for negative rates by year-end, said the Reserve Bank of New Zealand (RBNZ) Deputy Governor Geoff Bascand, speaking alongside Governor Adrian Orr at the press conference.

Orr continues to speak, now noting that “the next 12-plus months are going to be very tough for the global economy.”

More comments

"Do not have any influence over the level of the NZ$."

"Not looking for a "V" shaped recovery, recovery will take a long period."

"There are limits to negative rates, hard to know in advance."

NZD/USD eyes 0.6000

The kiwi is accelerating its decline and looks to test the 0.6000 support as the option of negative interest rates seems well on the cards for the central bank.

At the press time, NZD/USD trades at 0.6020, down 0.82% so far.

Author

Dhwani Mehta

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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