New Zealand’s central bank cuts interest rates again amid escalating global trade risks

The Reserve Bank of New Zealand cut its key interest rate by 25 basis points to 3.25%, in line with expectations, amid signs of a deeper monetary easing cycle than previously anticipated.

The Reserve Bank of New Zealand was one of the first central banks to end its COVID-19 stimulus measures, having raised interest rates by 525 basis points between October 2021 and September 2023 in an effort to curb accelerating inflation.