Major banks say another 25bps rates rise could be on the cards

Major banks say another 25bps rates rise could be on the cards
Average mortgage holders are staring at another average 150bps rate hike this year. (Image: Getty)
Brent Melville
Westpac says the Reserve Bank of New Zealand could well resume its tightening cycle next month, pushing up the official cash rate another 25 basis points to 5.75% on 'persistent' core inflation and a strong labour market.That, the bank said, will be motivated by consumer price inflation data for the June quarter and labour market report, where there are indicators that the labour market hasn't "cracked yet".That was after the central bank left the benchmark rate untouched at 5.5% at last week's review, the first time s...

More Economy

RBNZ to cut more than 20% of its workforce
Economy

RBNZ to cut more than 20% of its workforce

The job cuts come after its budget was slashed. 

Jones looking at gas rationing
Economy

Jones looking at gas rationing

“The wholesale hollowing out of the regional manufacturing sector.” 

Ian Llewellyn 11 Aug 2025
Treasury says covid spending overcooked
Economy

Treasury says covid spending overcooked

A new Treasury paper has criticised the last Government for overspending during the pandemic, leaving the country with a high level of public debt that makes it vulnerable to future shocks.The paper calculated the total cost of the pandemic at about $66 billion. It put the total...

Staff reporters 07 Aug 2025
Bridges: Interest rates not enough
Economy

Bridges: Interest rates not enough

The former National Party leader says the economy needs a ‘defibrillator’.

Dileepa Fonseka 07 Aug 2025