Growth in employment this year is likely to be substantially lower than over the past year. In that sort of environment, we forecast the central bank will leave interest rates unchanged for the rest of the year.
The good news is the surge in business investment is laying the groundwork for improved growth. This is what the central bank wants and so they will stay on the sidelines.
There's no need for the central bank to raise interest rates again.
We don't think there is anything to warrant a rate move from the central bank. Even though building approvals rose in November, housing is still in correction mode.