RBNZ and Treasury at odds over recession

The Treasury said the economy returned to growth in the second quarter and will continue to expand, but that inflation will still retreat below 3% by the end of 2024. In contrast, the RBNZ predicted gross domestic product would shrink in the third and fourth quarters of this year. — Bloomberg

WELLINGTON: The Reserve Bank of New Zealand (RBNZ) and the Treasury Department are at odds over whether the nation needs another recession to get inflation under control.

The Treasury said the economy returned to growth in the second quarter and will continue to expand, but that inflation will still retreat below 3% by the end of 2024.