The Reserve Bank of New Zealand (RBNZ) has increased the Official Cash Rate (OCR) by 50 basis points to 5.25 percent, surpassing market forecasts.
This move aims to bring inflation back within the target range of 1-3 percent over the medium term.
The RBNZ cited high and persistent inflation, as well as employment beyond its maximum sustainable level, as reasons for the rate hike.
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