RBNZ Assistant Governor Silk says slowdown in China, easing global growth a risk

Reserve Bank of New Zealand Assistant Governor Karen Silk spoke with Reuters in an interview.

  • Said that there were “definitely reasons to be concerned” about the weakness in China’s economy
    • consumer spending down
    • high debt in the property sector
    • the levers China had used previously to keep growth going were going to be harder to pull
  • “There are definitely some challenges there (in China), for sure”
  • “The pressures that we’re starting to see offshore around that global growth … that’s the risk that we see on the downside through the medium term”

China is New Zealand’s largest trading partner.

On Wednesday the RBNZ held the cash rate unchanged:

Reserve Bank of New Zealand Assistant Governor Karen Silk

This article was written by Eamonn Sheridan at www.forexlive.com. Source