New Zealand keeps interest rates steady

The Reserve Bank of New Zealand left its policy rate unchanged for the second consecutive meeting, in line with economists’ expectations, at 5.5%. The Reserve Bank of New Zealand said in a statement that the current level of interest rates was constraining spending and therefore inflationary pressures. It added that the official cash rate “should remain at restrictive levels for the foreseeable future” to ensure inflation returns to its target range of 1% to 3% while supporting maximum sustainable employment.