The government isn't going to intervene to bring down the value of the New Zealand dollar, Prime Minister John Key says.
Labour, the Greens and NZ First last week called for action to bring the New Zealand dollar down, saying its high value is hurting manufacturers and exporters.
"I don't believe in intervention, never have and frankly never will," Mr Key told reporters on Monday.
"Dreaming we can get the exchange rate down through intervention is la la land stuff."
Mr Key, who is a former foreign exchange dealer, says he acknowledges it's causing problems for exporters and that the dollar has been over-valued for some time.
"But it isn't all bad news - the high exchange rate takes pressure off oil prices and it takes pressure off imported inflation."The kiwi fell to 81.62 US cents at 5pm from 81.73 cents at 8am and was down from 81.87 cents at the close of trading in New York last week.
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