Latest / The SME Stream / Don Brash: Former NZ Reserve Bank Governor on Anna Breman signing a letter of support for US Federal Reserve Chair Jerome Powell

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Don Brash: Former NZ Reserve Bank Governor on Anna Breman signing a letter of support for US Federal Reserve Chair Jerome Powell · The SME Stream

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  Speaker 1: You're listening to a podcast from News Talks be follow
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  Speaker 2: You thought that the drama between the Reserve Bank and
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  Speaker 2: the government ended when Adrian All left, You'd be wrong. Yesterday,
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  Speaker 2: the new Reserve Bank Governor An A. Bremen signed an
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  Speaker 2: open letter of support for a US counterpart, Jerome Powell,
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  Speaker 2: alongside heads of other central banks worldwide. And now Powell
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  Speaker 2: is currently under criminal investigation by Donald Trump's Department of
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  Speaker 2: Justice and what he believes to be a poet a
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  Speaker 2: politically motivated probe. So Foreign Minister wism Peter's heard about
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  Speaker 2: her signing. The leader then responded suggesting that Anna Bremen
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  Speaker 2: stay in her New Zealand lane, saying it's not her
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  Speaker 2: place to get involved in US domestic politics or New
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  Speaker 2: Zealand foreign policy. So Don brash Is, the former Reserve
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  Speaker 2: Bank governor previous leader of the Active National Party, joins
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  Speaker 2: he now, according to Don good Morning, Andrew, is Anna
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  Speaker 2: Bremen right or wrong to stand with Jerome Powell publicly?
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  Speaker 3: Oh, I strongly back A Bremen. Had she done this
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  Speaker 3: on her own by herself, just made a statement about
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  Speaker 3: US policy? Yes, I think mister Peters might have had
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  Speaker 3: a good point. But she's doing it in concert with
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  Speaker 3: almost every other major central bank in the world, Reserve
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  Speaker 3: Bank of Australia, Bank of Canada, Bank of Englan, European
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  Speaker 3: Central Bank, et cetera. And it cose along with all
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  Speaker 3: the previous living Better Reserve Bank chairman and on Greenspan
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  Speaker 3: for example, has signed some of the sort of statement.
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  Speaker 3: So it's not just Anna Bremen's standing out on our own.
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  Speaker 3: She's making a statement in concert with other central banks. Now,
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  Speaker 3: I must say, when the statement first came out, the
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  Speaker 3: Reserve Bank of New Zealand's name was not on it,
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  Speaker 3: and I was frankly concerned why would she not be
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  Speaker 3: on it? Later on it turned out that she was
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  Speaker 3: in the middle of the night I guess when she
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  Speaker 3: got the request, and her name was later added to it.
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  Speaker 3: But now I strongly agree with what she was doing.
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  Speaker 3: The US daughter, who's up to the backbone of the
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  Speaker 3: world economy. It's the back by of the world monetary system,
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  Speaker 3: and anything which jeopardizers has effected geopardizers, it hasn't affected everybody.
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  Speaker 2: Okay, So don we know the President of the United
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  Speaker 2: States is a vengeful man. So a high ranking member
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  Speaker 2: of the New Zealand administration taking a stand against him
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  Speaker 2: could draw repercussions. So isn't it bad for New Zealand
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  Speaker 2: inc And our economy?
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  Speaker 3: Well, as I said, that's that's what would have been
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  Speaker 3: my view had she done it by herself. But she
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  Speaker 3: didn't do it by herself. She did it with all
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  Speaker 3: those other central banks. Bear in mind the fact that
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  Speaker 3: ninety eighty nine the Reserve Bank of New Zealand Act
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  Speaker 3: Past the law which basically gave the Braserve Bank independence
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  Speaker 3: and monetary policy, and that was backed by every Member
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  Speaker 3: of Parliament, every National Party MP, every Elebor Party MP
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  Speaker 3: backed that law. So the Reserve Bank has some statutary
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  Speaker 3: independence in monetary policy and I think she was simply
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  Speaker 3: exercising that.
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  Speaker 2: Does this get Anna Bremen off on the wrong foot
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  Speaker 2: with the government because she's only just started?
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  Speaker 3: Uh? Well, I mean, clearly was unhelpful that mister Peters
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  Speaker 3: decided to attack her. But I think in this case
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  Speaker 3: mister Peters was wrong all.
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  Speaker 2: Right, Don Bresh, and I thank you so very much
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  Speaker 2: Don Bresh, former Reserve Bank governor.
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