The Monetary Policy Committee today agreed to leave the Official Cash Rate (OCR) at 5.50%. The level of interest rates are constraining spending and inflation pressure as anticipated and required. The Committee agreed that the OCR will need to remain at a restrictive level for the foreseeable future, to ensure that consumer price inflation returns to the 1 to 3% annual target range, while supporting maximum sustainable employment. Global economic growth remains weak and inflation pressures are easing. This follows a period of significant monetary policy tightening by central banks internationally. Global inflation ... (full story)

The Reserve Bank left the Official Cash Rate (OCR) unchanged at 5.50% at its monetary policy review on Wednesday, ending almost two years of consecutive rate hikes. “The level of interest rates are constraining spending and inflation pressure as anticipated and required,” it said in a statement. Economists and traders had agreed the central bank would not increase the benchmark interest rate at its July meeting, as foreshadowed in its May Monetary Policy Statement. It was the first meeting since October 2021 that the Monetary Policy Committee did not lift the OCR. During that time, the cash rate was increased 525 ... (full story)