New Zealand Consider Single Currency With Australia

05 April 2012 10:00am - Jack Stupple

Email Article Print Article

New Zealand Consider Single Currency With Australia

The productivity commissions of Australia and New Zealand have suggested that a shared Trans-Tasman currency could lower business costs. New Zealand Productivity Chairman, Murray Sherwin said in a paper released by the two commissions, “New Zealand and Australia are close neighbours that already benefit from significant economic integration. Our job is to advice on potential ways to further enhance that integration for the benefit of both countries. We have been asked to look at options for boosting productivity through reducing the regulatory burden on business, increasing competition and encouraging closer economic operation.”

In the paper the commissions says the lower transaction costs of a single currency needed to be measured against differing business cycles such as the recent boost to exports caused by the recent mining boom. The report says, “On the one hand, there are potential benefits in avoiding the transaction costs associated with having separate currencies.” However, it added, “On the other, where business cycles and economic changes affect the two countries differently, there could be costs in not having independent exchange rates. The recent experience of countries in the Eurozone is instructive in this respect.”

The two economies are somewhat mismatched as Australia has been New Zealand’s largest trading partner in recent years but New Zealand is Australia’s fifth largest partner.


Related Links:
• New Zealand Government
Productivity Comission
• Latest News
Regular News Updates


Compare Foreign Exchange and Currency >>

Compare Loan and Debt Products >>

Compare Cards Products >>

Compare Money Products >>

Compare Insurance Products >>

We are always looking at simpler ways of controlling our day to day spending , Transaction accounts are the simplest way this can be done .
30 August 2016
Which Way To Pay
As we all want to keep on top of our financial situation , Transaction accounts can do this for you .
Having the stress of money worries hanging over you day in day out is very stressful. Thats why Bad Credit loans could be your answer.
08 August 2015
Which Way To Pay
When it comes to keep being refused by banks and lenders for a solution to clear your debt once and for all . Bad Credit Loans are there to help.
When spending on your reward credit card , many different benefits whilst using this.
14 May 2015
Which Way To Pay
Make sure you get all the rewards you are entitled to with your Rewards Credit Cards.