Economic weather report: RBNZ's Bollard looks at NZ's road to recovery

Bernard Hickey with an economic weather report in association with ASB. Reserve Bank Governor Alan Bollard spoke in Wellington on Wednesday on New Zealand's road to recovery.

He said any economic recovery toward the end of the year would be erratic and may not feel like a recovery. Bollard also said buyers of New Zealand dollars who expected a strong recovery may be disappointed. He also said again he was disappointed banks had not passed on the 50 basis point cut in the Official Cash Rate on April 30 to short term lending rates. Bollard said consumers and governments should save more and not to return to their big spending ways in a hurry. Swine flu could delay the recovery if it was severe, he added. For more on this, see here.