Adrian Orr, the Governor of New Zealand’s central bank, has announced his resignation effective at the end of the month after seven years in the role. Christian Hawkesby, the Deputy Governor, will serve as acting governor until March 31 and will also chair the Monetary Policy Committee. Starting April 1, New Zealand’s finance minister will appoint an interim governor for up to six months. Orr highlighted significant advancements during his tenure, particularly in monetary and financial policy, as well as improvements in balance sheet capital, digital infrastructure, data, and technology. New Zealand faced a recession in the third quarter of last year, prompting the Reserve Bank of New Zealand (RBNZ) to cut interest rates by 50 basis points to 3.75% in February. The nation also dealt with high unemployment, leading to a notable exodus of foreigners. Inflation peaked at 7.3% in mid-2022 but has since eased, with the latest figure at 2.2% for the quarter ended December 2024. Finance Minister Nicola Willis expressed gratitude for Orr’s service and extended best wishes for his future endeavors while welcoming Hawkesby’s interim leadership. — news from CNBC
