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Analysts: Bank of New Zealand is not going to increase interest

Central Bank of New Zealand has little opportunity to raise borrowing costs until June, as unemployment continues to rise, as consumer spending and housing demand remains low.

Reserve Bank of New Zealand will keep key interest rates unchanged at a record low of 2.5%, assured analysts on the eve of tomorrow’s meeting in Wellington, nine out of 13 analysts surveyed by agency Bloomberg, awaiting growth rates in June. The two expect to increase rates in April, and two others believed that this will happen only in the third quarter.