The Reserve Bank is reported to be in a process of probing the capability of other policy tools to assist its traditional official cash rate instrument in monetary policy. Also, it reported to stick with its search, Reserve Bank Governor Alan Bollard outlined.

Unveiling Reserve Bank's statement of intent for 2010 to 2013 today, Bollard highlighted the presence of an ongoing argument in the country, over the competency of the monetary policy in operating its financial issues.

"For our part, we are confident that medium-term price stability is the right objective for monetary policy”, he added.

The nation has managed to get out of the troubling waters of recession, grabbing advantage from a robust growth recorded by its major trading partners, he outlined in a statement today while unveiling the annual Statement of Intent.

Also, it can be witnessed that slow recovery in the U. K. and Europe, along with sovereign debt fears jittering several European economies, have cropped as a menace for its financial markets.

The recent Monetary Policy Statement revealed that the Reserve Bank is in plans to continue unwinding the extent of its monetary policy stimulus.

For 2010-11, the Reserve Bank budget reported the operating expenditure to be worth $47.8 million, marking a rise of $900,000, over last year's funding agreement of $46.9m.