New Zealand Inflation Hits Lowest Rate Since 2021

The slowdown, driven by falling food and transport prices, ends speculation of further hikes in the official cash rate.

Inflation in New Zealand has slowed to its lowest rate in two and a half years, at 4.7% across 2023, down from 5.6% in the year to September 2023.
The slowdown in inflation is largely due to falling food and transport prices.
The lower inflation rate ends speculation of a further hike of the official cash rate, which currently sits at 5.5%.
New Zealand Finance Minister Nicola Willis stated that a key goal of the government is to lower inflation, with a focus on getting inflation back into the target range under three per cent.
Despite the slowdown, domestic inflation remains high, posing a potential concern for the central bank.