'Inflation in New Zealand has peaked' - Kiwibank economist
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Loading... - Martinez Malena
- 25 Apr 2023
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The rising cost of living appears to have peaked, with Kiwibank's chief economist saying inflation will be closer to three percent by the end of the year.
The latest figures show annual inflation falling to 6.7 percent from just over 7 percent - a drop that was well below forecasts.
Kiwibank chief economist Jarrod Kerr said prices were in moving in the right direction, and by the end of the year inflation rate should be close to three percent.
"Inflation in New Zealand has peaked.
"I think that means that interest rates in New Zealand will also peak.
"And this time next year, we're going to see prices rising at a much lower clip, and maybe even, you know, a lowering of interest rates," Kerr told Checkpoint.
He said prices had started to drop internationally, with inflation pressures easing and the same can be expected for the domestic market.
Homeowners should start paying less for their mortgages by this time next year, Kerr estimated. Read More…
