25 May 2023

Economist on peaking inflation

From Morning Report, 8:14 am on 25 May 2023
New Zealand banknotes, pen and calculator on background with rising trend green line

New Zealand banknotes, pen and calculator on background with rising trend green line Photo: 123RF

The pain of inflation may have peaked.

The Reserve Bank hiked the official cash rate by 25 basis points yesterday to 5.5%, and signalled that might be as high as it will go.

But it says we aren't out of the woods yet. Westpac's chief economist, Kelly Eckhold, spoke to Guyon Espiner.