Reserve Bank of New Zealand signals readiness to hike rates if inflation remains high
Governor Anna Breman expects inflation to hit targets soon after holding rates at 2.25 percent. She remains ready to hike if price setting behavior shifts.
The Reserve Bank of New Zealand 
NZ held its Official Cash Rate (OCR) at 2.25 percent on Wednesday, marking the first policy decision since Governor Anna Breman took office in December. While the bank signaled that headline inflation, which is currently above target, is expected to fall back to its target range within this quarter, officials emphasized that they remain prepared to tighten monetary policy earlier if inflationary pressures persist. The decision, announced on February 18, 2026, reflects a cautious stance as the bank monitors domestic economic conditions.
NZ held its Official Cash Rate (OCR) at 2.25 percent on Wednesday, marking the first policy decision since Governor Anna Breman took office in December. While the bank signaled that headline inflation, which is currently above target, is expected to fall back to its target range within this quarter, officials emphasized that they remain prepared to tighten monetary policy earlier if inflationary pressures persist. The decision, announced on February 18, 2026, reflects a cautious stance as the bank monitors domestic economic conditions.
