The Reserve Bank of New Zealand faces a difficult policy decision this week.
The RBNZ will announce its latest Official Cash Rate decision on Wednesday, 27 May 2026.
The OCR currently sits at 2.25%, and markets broadly expect the central bank to leave rates unchanged. However, the meeting is still being treated as potentially “live”, meaning the decision could involve more debate than usual among committee members over whether to raise rates now or keep policy unchanged while signalling the possibility of a hike at the next meeting.
Wednesday’s decision will also be important because it will include the first full set of updated economic forecasts since the US/Iran conflict started in March.
Finance Minister Nicola Willis is also due to deliver Budget 2026 on Thursday, 28 May. The Budget is expected to focus on spending restraint, adding another important layer to the policy backdrop.
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