ANALYSISFinance Minister Nicola Willis’ first Budget has been printed and is good to go. The Reserve Bank has already threatened to lift to the Official Cash Rate (OCR) by 25 basis points should inflation not abate quickly enough. However, because the programme effectively saw $55b created by the Reserve Bank to buy bonds, even small changes to the arrangement would be noteworthy. The current plan is for Treasury to buy-back $5b of bonds per year from the Reserve Bank until 2027. She specialises in government and Reserve Bank policymaking, economics and banking.
