Under its remit, the MPC is responsible for maintaining a stable general level of prices over the medium term and supporting maximum sustainable employment.

It is made up of four internal RBNZ staff and three external members. Monetary policy decisions, such as setting the Official Cash Rate, are made by the seven members of the committee.

MPC appointments are made by the Minister of Finance, on the recommendation of the Reserve Bank board.

The new MPC appointees will replace current members Professor Caroline Saunders and Peter Harris when their terms end in 2024; Harris on 31 March and Saunders’ term ends on 30 June.

Board chair Neil Quigley says, “suitably qualified candidates will be interviewed later this year and assessed against the appointment criteria, then the names of candidates recommended by the board will be provided to the Minister of Finance after the General Election".

Applications will be assessed by the MPC appointments committee against various criteria including expertise in monetary policy and macroeconomics (including those carrying out ongoing research in these areas); and relevant professional knowledge, skills and experience in public policy and banking. 

Applicants will require a strong understanding of conflicts of interest, the sensitivity associated with “inside knowledge” of monetary policy decisions, and the constraints on other activities that are necessarily associated with membership of the MPC.

“The final appointment decisions and timing is up to the minister, but we expect appointments to be announced by early 2024,” he says. Once the two new MPC members are inducted, they will officially begin their appointments on 1 April or 1 July 2024, respectively.”