Reserve Bank of New Zealand assistant governor John McDermott said on Wednesday that a lower currency would help rebalance economy growth.
"From a growth point of view, a lower real exchange rate would help rebalance growth towards the tradables sector, especially as not all traded industries are benefiting from the current high terms of trade," McDermott said in a speech.
The New Zealand dollar last week hit its highest level since September 2016 and is currently not far from those levels.
The currency was flat at US74.19¢; it has risen more than 8 per cent since touching its year low in mid May.