Confidence another substantial Official Cash Rate cut's on the cards, with today's figures showing inflation is still under control.

Stats NZ says the rate for the year to December remained unchanged at 2.2 percent.

Inflation is well down from the 2022 high of 7.3 percent, but still higher than the 1.5 percent reached in 2021.

Infometrics Chief Forecaster Gareth Kiernan says he's confident the Reserve Bank will slice 50 basis points from the OCR in February.

"Non-tradeable inflation is still coming down - there's risks on the tradeable side, but I don't think there's enough there to sway the Reserve Bank towards going with a smaller 25 point cut."

LISTEN ABOVE

The podcasts in the SME Stream contain general information only, not financial or professional advice. Any opinions expressed in the podcasts are not necessarily shared by BNZ, or its related entities. BNZ is not liable for any losses resulting from the content of the podcasts. 

See omnystudio.com/listener for privacy information.

New reports indicate the Indian Government is sounding out the nation's biggest businesses to determine how they feel about a trade agreement with New Zealand.

The Indian Government reportedly sent an email to members of the Federation of Indian Chambers of Commerce and Industry asking for feedback on the idea of starting negotiations with NZ on a free trade agreement.

India NZ Business Council chair Bharat Chawla explains what this could mean going forward.

LISTEN ABOVE

The podcasts in the SME Stream contain general information only, not financial or professional advice. Any opinions expressed in the podcasts are not necessarily shared by BNZ, or its related entities. BNZ is not liable for any losses resulting from the content of the podcasts. 

See omnystudio.com/listener for privacy information.

There’s a belief we're still yet to reap the benefits of having inflation under control. 

Latest Stats NZ figures show the inflation rate for the year to December was 2.2%, unchanged from September. 

Inflation is well down on the once-in-a-generation high of 7.3% of just two and a half years ago. 

The Herald's Liam Dann told John McDonald we're still yet to see many prices come down. 

He says rents are still up for example, but they should be coming down with a struggling property market. 

LISTEN ABOVE 

See omnystudio.com/listener for privacy information.

Stats NZ will release Consumer Price Index inflation numbers for quarter four on Wednesday, and economists are predicting it will be within the Reserve Banks's target range of 1 - 3%

It comes off the back of December card spending numbers which saw retail spending increase by 2%

NZ Institute for Economic Research Deputy Chief Executive Christina Leung says they're expecting a rise of 0.6% for the quarter, and put annual inflation at 2.2%

She says today's numbers shouldn't change the chances of a rates cut in February, expected to be 0.5%

LISTEN ABOVE

The podcasts in the SME Stream contain general information only, not financial or professional advice. Any opinions expressed in the podcasts are not necessarily shared by BNZ, or its related entities. BNZ is not liable for any losses resulting from the content of the podcasts. 

See omnystudio.com/listener for privacy information.

Economists have revealed retail spending numbers were better than expected for the month of December.

The total value of electronic card spending, including in non-retail services and other non-retail categories, rose a seasonally adjusted 1.5 percent to $9.23 billion in December from November, according to Stats NZ. 

That brought total spending in line with levels last seen in November 2023.

Infometrics Principal Economist Brad Olsen says this is a sign green shoots are returning to the economy.

LISTEN ABOVE

The podcasts in the SME Stream contain general information only, not financial or professional advice. Any opinions expressed in the podcasts are not necessarily shared by BNZ, or its related entities. BNZ is not liable for any losses resulting from the content of the podcasts. 

See omnystudio.com/listener for privacy information.

Nicola Willis says her new role in Cabinet is all about driving New Zealand's growth. 

The Finance Minister has been given the Economic Growth portfolio, formerly known as the Economic Development portfolio

It's been taken off Melissa Lee - who's been stripped of all ministerial responsibilities.

Willis says she'll now be taking the lead at the Ministry of Business, Innovation and Employment. 

"Through that role, I will be making sure that we're responding to businesses, industries, small business owners about what they need to have the confidence to be investing, to be hiring."

LISTEN ABOVE

The podcasts in the SME Stream contain general information only, not financial or professional advice. Any opinions expressed in the podcasts are not necessarily shared by BNZ, or its related entities. BNZ is not liable for any losses resulting from the content of the podcasts.

See omnystudio.com/listener for privacy information.

ASB has cut its 18 month fixed term loan rate to 5.39% following cuts by Westpac and BNZ.

All three of the banks' six-month rates are now at 5.99% as they fight to be the bank of choice for mortgages. 

This comes alongside rumours of a foreign buyer ban reversal - with experts saying it could work, but rules need to be more flexible. 

LISTEN ABOVE

The podcasts in the SME Stream contain general information only, not financial or professional advice. Any opinions expressed in the podcasts are not necessarily shared by BNZ, or its related entities. BNZ is not liable for any losses resulting from the content of the podcasts. 

See omnystudio.com/listener for privacy information.

Nicola Willis will pick up a new role with a new name in the Economic Growth Portfolio - formerly the Economic Development Portfolio occupied by Melissa Lee.

Willis told Francesca Rudkin she is planning to identify the barriers for small businesses, industry leaders and entrepreneurs. 

The change is among a variety of shakeups to cabinet - Doctor Shane Reti has lost the health portfolio, Simeon Brown has become the new minister for health and handed over his portfolio to Chris Bishop. 

Finance Minister Nicola Willis joins the show. 

LISTEN ABOVE. 

The podcasts in the SME Stream contain general information only, not financial or professional advice. Any opinions expressed in the podcasts are not necessarily shared by BNZ, or its related entities. BNZ is not liable for any losses resulting from the content of the podcasts. 

See omnystudio.com/listener for privacy information.

Prime Minister Christopher Luxon has made a series of changes to his cabinet for the new year.

Melissa Lee has been demoted from his ministerial team, taking her economic development and ethnic communities portfolios off her.

Lee’s economic development portfolio had morphed into economic growth, which has been given to Finance Minister Nicola Willis.

“[Willis'] focus will be on leading the Government’s growth agenda to unleash the potential of our businesses to grow, develop talent and attract investment,” Luxon said.

Nicola Willis says signs of economic recovery are already starting to show.

"Our plan is about more than simply getting through the recent economic downturn."

The podcasts in the SME Stream contain general information only, not financial or professional advice. Any opinions expressed in the podcasts are not necessarily shared by BNZ, or its related entities. BNZ is not liable for any losses resulting from the content of the podcasts. 

See omnystudio.com/listener for privacy information.

Another sign of hope on the horizon for jobseekers. 

The latest quarterly Westpac-McDermott Miller Employment Confidence Index has risen for the first time in over two years, off the back of a three-and-a-half-year low. 

Public sector workers are more pessimistic than private sector workers about their earning prospects. 

But there's growing confidence, across the board, about the availability of jobs. 

Infometrics’ Brad Olsen told Tim Beveridge that it’s another sign that we’re maybe starting to reach the end of the really difficult periods people are facing. 

LISTEN ABOVE 

The podcasts in the SME Stream contain general information only, not financial or professional advice. Any opinions expressed in the podcasts are not necessarily shared by BNZ, or its related entities. BNZ is not liable for any losses resulting from the content of the podcasts. 

See omnystudio.com/listener for privacy information.