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MNI BRIEF: RBNZ Sees Rates At 3.4% By December

MNI (Sydney)
SYDNEY (MNI)

The Reserve Bank of New Zealand on Wednesday upped its forecast for its official cash rate, which it now expects will reach 3.4% by the end of this year and peak at 3.9% by December 2023.

The RBNZ today hiked the OCR by another 50 basis points to 2% as it continues the tightening cycle it began in October, when it started to raise rates from the record low of 0.25% set for the pandemic, (See MNI STATE OF PLAY: RBNZ Considers Pace Of Rate Hikes).

The central bank also released its latest Monetary Policy Statement, which contained an updated track showing a higher OCR. The previous MPS had rates at 2.2% at the end of this year and 3.3% by December 2023.

MNI Sydney Bureau | +61-405-322-399 | lachlan.colquhoun.ext@marketnews.com
MNI Sydney Bureau | +61-405-322-399 | lachlan.colquhoun.ext@marketnews.com

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