RBNZ raises rates 25 bps to 2.5%, flags further hikes

Published Jul 8, 03:06 AM UTC

The Reserve Bank of New Zealand raised its official cash rate by 25 basis points to 2.5% on July 8, 2026, signaling further monetary tightening ahead to combat persistent inflation pressures. Policymakers noted that easing oil prices are expected to provide some relief for households and businesses, but remain vigilant about underlying price pressures. The decision marks a continued tightening cycle as the central bank seeks to bring inflation back within its target range. The move was reported by The Business Times Singapore, with the central bank flagging additional rate hikes in the coming months depending on economic data.