ANZ Bank Forecasts Consecutive Rate Hikes by New Zealand Central Bank

ANZ Bank has projected that the Reserve Bank of New Zealand (RBNZ) will implement three consecutive interest rate hikes of 25 basis points each in July, September, and October, raising the official cash rate to 3%. According to Jin10, this move is anticipated as inflation rates are expected to rise, and maintaining the official rate at a stimulative level could cause concern for the RBNZ. Sharon Zollner, ANZ's Chief Economist, stated that these rate hikes would be significant, leading ANZ to no longer predict an increase in the official rate to 3.5%. She added that once the rate reaches 3%, it is expected to remain stable at that level.