New Zealand Rolls out Single Biggest Rate Hike in History, Warns of Recession

Pedestrians walk near the main entrance to the Reserve Bank of New Zealand located in central Wellington, New Zealand, on July 3, 2017. David Gray/Reuters

The New Zealand Reserve Bank (RBNZ) has delivered its largest official cash rate (OCR) hike of 75 basis points to 4.25 percent, after figures revealed inflation remained stubbornly high.

Across 16 months, the RBNZ has raised the OCR by 400 basis points (bp) over nine consecutive hikes.