The Reserve Bank thinks the Official Cash Rate will go to two percent over the next 12 months or so. 
The central bank opted to keep the OCR at 0.25 percent yesterday, because the country was already in alert level four. 
Governor Adrian Orr told Mike Hosking they'll be reassessing the OCR in light of things like inflation and maximum sustainable employment. 
He says higher interest rates in the future make sense. 
"We would need to see something pretty dramatic, ongoing, including internationally to deter us." 
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