Labour Vows to Restore RBNZ Dual Mandate Ahead of New Zealand Election

New Zealand's Labour Party has pledged to restore the Reserve Bank of New Zealand's (RBNZ) dual mandate if it wins the upcoming November 7 election. The RBNZ's current remit focuses solely on price stability, after the National Party-led government simplified its monetary policy objectives in 2023.

The Labour Party argues that both price stability and sustainable employment are essential for a strong economy. In contrast to the current approach, which prioritizes combating the cost-of-living crisis, the party believes policymakers should balance these two goals.