Summarised by Centrist
After seven years in charge, Adrian Orr has abruptly resigned as Governor of the Reserve Bank of New Zealand (RBNZ), effective 31 March.
Orr’s tenure has been controversial with critics blaming him for fuelling inflation through ultra-loose monetary policy, then slamming on the brakes too late—leading to soaring mortgage rates and a painful recession.
ACT’s David Seymour didn’t hold back, quipping: “Farewell and thanks for the inflation.”
The timing is suspect. Orr leaves just before a major RBNZ-hosted conference featuring Ben Bernanke and other financial heavyweights.
RBNZ Chair Neil Quigley insisted it wasn’t about performance or conduct but admitted there were ongoing discussions about the central bank’s funding agreement with the government.
While he paints his departure as voluntary, Finance Minister Nicola Willis refused to say why he resigned or whether she still had confidence in him. Willis has already stripped the RBNZ of its employment mandate, forcing it to focus solely on inflation.
Many believe Orr’s departure paves the way for a Governor more aligned with the government’s push for looser banking regulations and increased competition. His replacement is expected within six months.
Read more over at RBNZ and RNZ and The Epoch Times
