Slightly higher inflation may raise eyebrows at RBNZ

The next rate review is May 28. (Image: NZME)

Mon, 19 May 2025

The global backdrop may have settled somewhat, but inflationary pressures may give the Reserve Bank of New Zealand pause for thought. Data from the selected price indexes last week showed that overall monthly prices increased 0.8% in April, with annual inflation firming to 2.8%, according to ASB Bank. Food prices lifted 3.7% year-on-year. The Reserve Bank of NZ (RBNZ) is mandated to keep inflation between 1% and 3%, focusing on the midpoint. Annual inflation was 2.5% in the March quarter. The official cash rate (OCR) is curr...

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