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Res. Bank cuts PL to $400 million

PA Wellington The Reserve Bank intends to reduce December primary liquidity (PL) from its current projected level of $515 million to around $4OO million. The deputy Governor of the Reserve Bank, Mr Lindsay Knight, who made the announcement when he released the December liquidity projections, said primary liquidity of $515 million had previously been considered appropriate given the volume of S.O.E. payments due during Decern-

ber. However, a significant volume of the payments had been rescheduled into the March quarter, he said. "The planned reduction in December primary liquidity is a logical reaction to the revised profile of cash flows to the Government,” Mr Knight said. However, the bank would continue to monitor conditions in the financial sector, and was aware of its responsibility to maintain adequate liquidity should conditions become less stable, he said.

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https://paperspast.natlib.govt.nz/newspapers/CHP19871202.2.150.14

Bibliographic details

Press, 2 December 1987, Page 41

Word Count
142

Res. Bank cuts PL to $400 million Press, 2 December 1987, Page 41

Res. Bank cuts PL to $400 million Press, 2 December 1987, Page 41