The biggest upshot of the latest OCR cut is likely to be the boost to consumer confidence. 

The Reserve Bank's slashed the cash rate by 50-basis-points to 2.5%. 

Major banks are responding by lowering floating and flexible rates after already lowering their fixed-term rates in recent days. 

ABC Business Sales Chief Executive Chris Small told Mike Hosking businesses will benefit more indirectly from increased consumer spending, than directly from falling interest rates. 

He says interest costs are only a small portion of a person's actual business costs, and businesses will always prefer for revenues to rise than for costs to fall. 

LISTEN ABOVE 

The biggest upshot of the latest OCR cut is likely to be the boost to consumer confidence.&nbsp;
The Reserve Bank's slashed the cash rate by 50-basis-points to 2.5%.&nbsp;
Major banks are responding by lowering floating and flexible rates after already lowering their fixed-term rates in recent days.&nbsp;
ABC Business Sales Chief Executive Chris Small told Mike Hosking businesses will benefit more indirectly from increased consumer spending, than directly from falling interest rates.&nbsp;
He says interest costs are only a small portion of a person's actual business costs, and businesses will always prefer for revenues to rise than for costs to fall.&nbsp;
LISTEN ABOVE&nbsp;

Best of Business is the home of all things business at Newstalk ZB, from morning market updates right through to incisive interviews with New Zealand’s top business leaders and decision makers. 

Whether you’re a small business owner or interested in what’s going on in the Big End of Town, this podcast encompasses the sharpest voices and minds in the world of business.

Best of Business is the home of all things business at Newstalk ZB, from morning market updates right through to incisive interviews with New Zealand’s top business leaders and decision makers. Whether you’re a small business owner or interested in what’s going on in the Big End of Town, this podcast encompasses the sharpest voices and minds in the world of business.

Best of Business is the home of all things business at Newstalk ZB, from morning market updates right through to incisive interviews with New Zealand’s top business leaders and decision makers.

Best of Business

Chris Small: ABC Business Sales CEO on the impac of the OCR being cut to 2.5%

https://api.omny.fm/orgs/7784f840-c291-422a-924b-ad9000bbad71/clips/b8434ab8-843e-42c3-a0fc-b37001384dcf/transcript