RBNZ says financial system resilient but Middle East conflict to slow recovery

New Zealand's central bank assessed its financial system as resilient but warned that the Middle East conflict will slow the country's economic recovery. The disruption to global energy markets, particularly due to the Strait of Hormuz closure, is negatively impacting New Zealand's economy and potentially affecting job growth and debt servicing. While insurers have taken measures to bolster solvency, the overall outlook remains cautious for the New Zealand dollar and interest rate expectations.