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Reserve Bank of New Zealand Act 2021

Reserve Bank of New Zealand - Continuation of Reserve Bank of New Zealand

9: Bank’s objectives

You could also call this:

"The Bank's main goals are to keep prices stable and protect New Zealand's financial system."

Illustration for Reserve Bank of New Zealand Act 2021

The Reserve Bank of New Zealand has main objectives. You know the Bank has to achieve and maintain stability in the general level of prices over the medium term. The Bank also has to protect and promote the stability of New Zealand's financial system. The Bank must act as New Zealand's central bank in a way that furthers the purposes of this Act. If an Order in Council is in force under section 125, the economic objective is what the order says. When the Bank is doing something because of other legislation, it also has to act in a way that furthers the objectives of that legislation. The Bank has to follow these objectives when it is performing its functions. You can find more information about the Bank's objectives in the Act.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS287017.

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8: Continuation of Reserve Bank of New Zealand, or

"The Reserve Bank of New Zealand keeps working as it has before."

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10: Bank’s functions, or

"The Reserve Bank's main jobs are to help make money decisions, supervise banks, and keep the financial system safe."

Part 2Reserve Bank of New Zealand
Continuation of Reserve Bank of New Zealand

9Bank’s objectives

  1. The Bank’s main objectives are—

    Economic objective

  2. the economic objective of achieving and maintaining stability in the general level of prices over the medium term; and

      1. Financial stability objective

    1. the financial stability objective of protecting and promoting the stability of New Zealand’s financial system; and

        1. Central bank objective

      1. otherwise acting as New Zealand’s central bank in a way that furthers the purposes of this Act.

        1. However, if an Order in Council is in force under section 125, the economic objective or objectives that apply under subsection (1)(a) are those that are specified in the order.

        2. When the Bank is performing or exercising a function or power that is conferred or imposed by other legislation, the Bank also has the objective of acting in a way that furthers the objectives or purposes of that other legislation.

        Notes
        • Section 9(1)(a) heading: replaced, on , by section 4 of the Reserve Bank of New Zealand (Economic Objective) Amendment Act 2023 (2023 No 64).
        • Section 9(1)(a): replaced, on , by section 4 of the Reserve Bank of New Zealand (Economic Objective) Amendment Act 2023 (2023 No 64).