RBNZ to cut by 25bp im March and then also in May. ASB had previously expected an on hold year for the RBNZ.
- Adjust their view based on the impact of the COVID-19 outbreak globally
- ASB say government fiscal support is better in this situation but monetary policy has a role also as part of a co-ordinated response
ASB point to the cut from the RBA -
- "reinforces that central banks are now much more inclined to step in and provide support to economies"
