New Zealand central bank chief says pleased with current policy

Credit: REUTERS/CHARLOTTE GREENFIELD

The head of New Zealand's central bank on Thursday said he was "pleased" with where policy was at present, having cut interest rates by a sharp 50 basis points earlier this month.

Aug 23 (Reuters) - The head of New Zealand's central bank on Thursday said he was "pleased" with where policy was at present, having cut interest rates by a sharp 50 basis points earlier this month.

Reserve Bank of New Zealand Governor Adrian Orr told Bloomberg TV in Wyoming that the cut to 1% allowed them to get ahead of any economic slowdown and reduce the probability of having to do a lot more later.

"So we're pleased with where we are," Orr said.

The New Zealand dollar NZD=D3 rose 0.3% to $0.6383 as the market interpreted the comment to mean there was less chance the central bank would ease policy again at its next meeting in late September.

(Reporting by Wayne Cole; Editing by Sam Holmes)

((Wayne.Cole@thomsonreuters.com; 612 9321 8162; Reuters Messaging: wayne.cole.thomsonreuters.com@reuters.net))

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