Cashless society prompts new smartpay app

A new smartpay app could make it easier for small businesses to collect payment from customers without having to set up a till.

The New Zealand-based company which designed the app says it is vital in an increasingly cashless society.

"We call it till-to-go," Smartpay chief executive Bradley Gerdis says.

"It's a free cash register app that anyone can download and use on an iPad instead of buying a large expensive cash register system."

And Mr Gerdis says the app is easy to use.

Smartpay is a till-to-go cash register app that anyone can download. Source: 1 NEWS


Early Christmas cheer for home buyers as OCR cut again

Several banks have followed the lead of the Reserve Bank by cutting their home loan rates, giving borrowers an early Christmas gift.

Source: 1 NEWS

The Reserve Bank governor Graeme Wheeler this morning cut the Official Cash Rate by 25 basis points to 2.5 per cent.

Further cuts next year aren't being ruled out either if need be, although the Reserve Bank appears to be signalling that it may have done enough cutting for the time being.

The announcement prompted some Kiwi banks to reduce their floating home rates.

ANZ Bank reduced its floating home rate by 0.25 per cent to 5.74 per cent while The Cooperative Bank has reduced theirs to 5.70 per cent. Kiwibank cut its floating home rate by 0.25 per cent to 5.65 per cent, while BNZ has cut its to 5.79 per cent.

Westpac reduced its floating rates to 5.85 per cent.

Driving this latest OCR cut - the fourth this year - is the persistently low inflation that New Zealand has been experiencing for the last couple of years.

The Reserve Bank has a mandate to keep inflation between 1 and 3 per cent.

However inflation has been below 1 per cent this year and is currently 0.4 per cent.

Mr Wheeler says monetary policy needs to be accommodative to help ensure that future average inflation settles near the middle of the target range.

He says the Reserve Bank expects to achieve this at the current interest rate settings, although the Reserve Bank will reduce rates if circumstances warrant.

As for the economic outlook Mr Wheeler notes the New Zealand economy has softened over 2015 due to lower export earnings and that combined with increases in labour supply from strong net migration, the slowdown has caused spare capacity and unemployment.

He says a recovery in export prices, the recent lift in confidence and increasing domestic demand from the rising population are expected to see growth strengthen over the coming year.

As for the housing market, Mr Wheeler notes house price inflation in Auckland remains high and continues to pose a financial stability risk.

However, he also says there are some early signs that Auckland house price inflation may be moderating.

Residential building is also accelerating and recent tax and loan restriction measures are expected to reduce housing pressures.

Mr Wheeler has flagged a number of risks and uncertainties to today's assessment, including the possibility that dairy prices remain weak for longer and the current El Nino results in drought and weaker output.


GST on online digital purchases could come into action soon

A new bill that affects GST on online digital purchases has passed its first reading in Parliament.

If the bill goes ahead, GST will be added to intangible purchases online such as movies and eBooks.

The government says it’s losing revenue and no GST on these products is creating an uneven playing field for New Zealand retailers.

GST on physical goods purchased online will not be affected.

Source: Maximum PC