Adrian Orr reappointed for second term as Reserve Bank of New Zealand governor

The government has reappointed Adrian Orr for a second five-year term as governor of the Reserve Bank of New Zealand.

It comes as Prime Minister Jacinda Ardern criticised New Zealand's banks for posting mega-profits during the cost of living crisis, but said the government did not currently have a solution.

Earlier in November, Orr said New Zealand was in good economic shape to face the types of challenges being seen the world over.

However, he warned that employment prospects could be compromised as the Reserve Bank moved to tackle high inflation.

Rising interest rates and current economic situation should not be a surprise to anyone, he had said, citing the "unbelievable situation of Covid" and ongoing geopolitical tensions.

He reiterated the need for banks to keep in touch with customers who may be struggling, saying it was "in no one's interest for the banks to be acting in a short-term manner".