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Michele Bullock has also discussed the housing market, and said she's been surprised by how it has bounced back from its initial declines.
"The housing market has surprised me a bit … when COVID first hit housing prices actually declined, and then after a few months they shot up, and they shot up about 20, 25%," she said.
"They really rose very, very sharply, and I should add this happened all around the world.
"Now they're [house prices] back to where they were.
"There's a few things going on here … one is that there's difficulties in construction of new housing … the cost of new housing has risen quite sharply, and that I think has made the equation between building a new house and buying an existing house has changed somewhat.
"The equation between 'do I buy my own home or do I rent?' also shifts somewhat."
She also mentioned that household size during the pandemic had declined significantly as people decided they wanted an office to work from home, no longer share with flatmates, or move further out.
"A whole lot of decisions went into people having more housing stock per person," she said.
"I might get the number wrong, but I saw something to the effect that that the decline was in effect the same as an additional 140,000 homes, just by that decline in household side.
"Now household side has turned around a bit, and you would expect it to because rents are rising ... but nevertheless I think average household size has been another factor here that's impacted the supply and demand imbalance in the housing market."