{
    "success": true,
    "data": {
        "id": 1996337,
        "msgid": "new-zealands-covid-stimulus-maintained-for-too-long-1790136264",
        "date": "2026-09-23 10:17:13",
        "title": "New Zealand's COVID Stimulus Maintained for Too Long",
        "author": "",
        "source": "ANTARA_ID",
        "tags": "",
        "topic": "Economy",
        "summary": "An independent review has concluded that the Reserve Bank of New Zealand was too slow to withdraw monetary stimulus following the post-pandemic economic recovery. The report suggests that prolonged stimulus contributed to economic overheating and high-cost boom-bust cycles.",
        "content": "<p>Wellington (ANTARA) - The Reserve Bank of New Zealand has been judged\nto have been too slow in withdrawing monetary policy stimulus after the\neconomy recovered more strongly than expected following the COVID-19\npandemic, according to an independent review released on Tuesday\n(22\/9).<\/p>\n<p>The evaluation report, released by New Zealand Finance Minister\nNicola Willis, examined monetary policy decisions from 1 January 2020 to\n31 December 2022. It found that while the central bank\u2019s initial\nresponse to the pandemic was appropriate and effective, monetary policy\nstimulus was maintained for too long.<\/p>\n<p>The review was conducted by Professor Athanasios Orphanides of the\nMassachusetts Institute of Technology in the United States and former\nDeputy Governor of the Reserve Bank of New Zealand, David Archer.<\/p>\n<p>According to a statement from the New Zealand Government, the review\naimed to identify lessons that could be learned to improve responses to\neconomic shocks in the future.<\/p>\n<p>Prolonged stimulus, amidst conditions of economic overheating,\ncontributed to harmful and high-cost boom-bust cycles, Willis stated in\nher announcement.<\/p>\n<p>Inflation reached 7.3 per cent, and unemployment fell to what the\nreviewers described as an \u201cunsustainable historic low,\u201d while efforts to\nrein in inflation required significant monetary tightening, which in\nturn increased unemployment and hindered growth, Willis said.<\/p>\n<p>\u201cThe COVID-19 pandemic was an unprecedented economic shock. This\nphenomenon has provided several bitter lessons for New Zealand,\u201d she\nremarked.<\/p>\n<p>Recommendations in the review focus on strengthening monetary policy\ndecision-making amidst uncertainty.<\/p>\n<p>Reserve Bank of New Zealand Governor Anna Breman stated that\nofficials will carefully analyse the review report and utilise its\nfindings to help determine future policy.<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/new-zealands-covid-stimulus-maintained-for-too-long-1790136264",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}