Interest rates have peaked, but only if RBNZ’s plan works

Reserve Bank governor Adrian Orr is trying to squash inflation without starting a recession. (Photo: Getty)

Fri, 02 Sep 2022

More than half of all outstanding fixed-rate mortgages will roll onto a new, higher interest rate over the next year, according to ASB’s research team.This has a lot of households weighing up whether to refix their loans for several years or to choose a short-term option in the hope that interest rates will come down.Two-year mortgage rates have already retreated from their recent high, falling from an average of 5.99% in June to 5.94% in July.However, economists have conflicting views on where market interest rates will go from here.In a...

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