New Zealand’s Reserve Bank has slashed the official cash rate (OCR) by 50 basis points to 2.5 percent in a move that surprised many in the markets.
It also signalled that there may be further easing in future.
New Zealand’s Central Bank Drops Cash Rate to 2.5 Percent as Economy Wobbles
With unemployment heading upwards and people deferring spending due to job insecurity, the Reserve Bank has made a 50 basis point cut to interest rates.
A pedestrian walks past the Reserve Bank of New Zealand (RBNZ) in Wellington, New Zealand on Sept. 24, 2025. Hagen Hopkins/Getty Images
Rex Widerstrom
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Rex Widerstrom is a New Zealand-based reporter with over 40 years of experience in media, including radio and print. He is currently a presenter for Hutt Radio.
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