Overview
- Consumer prices rose 0.9% in the March quarter, keeping the annual rate at 3.1% according to Stats NZ.
- Petrol and pharmaceutical charges drove most of the quarterly rise, with cheaper international airfares softening the increase.
- Domestic prices led the advance, with power, rents, and local rates putting the most pressure on household budgets.
- Electricity prices climbed 12.5% over the year, the single biggest contributor to the annual increase.
- The Reserve Bank signaled patience as underlying inflation sits near 2.2% to 2.5%, while traders are betting on about three cash-rate hikes to roughly 3% from mid‑year.