RBNZ cuts OCR to 3%, now sees cash rate reaching 2.5%

RBNZ governor Christian Hawkesby continues to ease interest rates. (Image: NZME)

Wed, 20 Aug 2025

The Reserve Bank of New Zealand has cut the official cash rate by 25bps to 3.00% but considered a bigger cut and is now more dovish in its outlook. “The Committee voted on the options of either reducing the OCR by 25 basis points or reducing the OCR by 50 basis points. By a majority of 4 votes to 2, the Committee agreed to decrease the OCR by 25 basis points to 3%,” according to the record of meeting.“Further data on the speed of New Zealand’s economic recovery will influence the future path of the OCR. If medium-t...

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