Some feel Reserve Bank governor Adrian Orr undercooked the response to the coronavirus, but the bank could still act at any time. READ MORE:* Reserve Bank holds interest rate and assumes coronavirus impact will die down before July* Would an OCR cut help vaccinate the economy? But to be fair, the Reserve Bank has not been attempting to out-guess medical professionals about of the likely length and depth of the health crisis. Nor did the Reserve Bank go as far as assuming that the coronavirus itself would be quite that transient. Monetary policy may be a useful tool to counteract business cycles and to get businesses out of a self-induced funk.

Source: Stuff February 14, 2020 20:37 UTC