NZ mortgage debt rockets ahead of LVR restrictions

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By Leith van Onselen

The RBNZ released its monthly credit aggregates data, which showed that household borrowing hit an annual growth rate of 8.7% in August – the highest level since May 2008 just prior to the onset of the Global Financial Crisis (GFC):

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Most of this growth in debt was driven by mortgages, which grew by 9.2% in the year to August 2016 – also the highest level since May 2008:

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About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.