Auckland and Christchurch house prices are 39 and 27 percent respectively above their 2007 levels. House price inflation slowed as the Loan-to-Value ratio restrictions and the rise in mortgage interest rates helped to constrain demand, but appears to be increasing again in Auckland due to rising household incomes, falling interest rates on fixedrate mortgages, strong migration inflows and continued market tightness 4.
We have therefore committed to leverage technology to transform the delivery of the Bank’s services and to enhance our communication about what we do. Later this year, we will strengthen our governance model to better align it with international best practices and we are in the process of modifying our exchange control regime to better facilitate business and bolster long term growth.