New Zealand’s central bank cuts cash rate by 50 bps to 4.75%, by Reuters

WELLINGTON – New Zealand’s central bank cut its cash rate by 50 basis points to 4.75% on Wednesday and said it assessed annual consumer price inflation to be within its inflation target range of 1% to 3% .

The decision was in line with market pricing and most economists’ expectations, with 17 out of 28 economists in a Reuters poll predicting the Reserve Bank of New Zealand (RBNZ) would cut the benchmark rate by half a percentage point.

“The Committee agreed that it is appropriate to cut the OCR by 50 basis points in order to achieve and maintain low and stable inflation while seeking to avoid unnecessary volatility in output, employment, interest rates and of the exchange rate,” the central bank said. its policy statement.

This is the second meeting in a row that the central bank has cut the official cash rate.