RBNZ Warns Rising Oil Prices Could Boost Near-Term Inflation

New Zealand's central bank has warned that ongoing rises in global oil prices could push near-term inflation beyond previous forecasts, adding to risks facing the country's economic recovery.

Reserve Bank of New Zealand Governor Anna Breman stated that recent increases in oil prices and higher long-term interest rates reflect a challenging global environment.

If higher oil prices persist, they are expected to result in somewhat higher near-term inflation than assumed in the September statement, according to Breman.