New Zealand’s central bank lifted its benchmark interest rate by half a percentage point to 2.5 percent as it attempts to curb inflation.
It was the third time this year that the Reserve Bank of New Zealand lifted the cash rate by 50 basis points, following hikes in April and May. There was also a quarter percentage point rise in February.
The bank has forecast that the rate will peak at 4 percent late next year.
It says that it remains appropriate to continue to tighten monetary conditions at a pace to maintain price stability and support maximum sustainable employment.