inflation tagged posts

Stats NZ Refines New Inflation Measure

March 14, 2016 New Zealand Finance

Statistics New Zealand is stepping closer to a new method of calculating inflation, having decided on the treatment of debts, second hand goods, and how different income groups will be grouped.

Late last week Statistics New Zealand issued a statement confirming that it has made some decisions on the process which will be used to calculate “household living-cost price indexes” (HLPI), a new alternative for the calculation of inflation in New Zealand.

The decisions have come following a round of public consultation on methodologies to create a method of calculating inflation more accurately in New Zealand.

When then HLPIs begin to be constructed later in 2016 they will be based on spending an expenditure of different income groups, namely, suppernnuitants, Maori, beneficiaries, and fiv...

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Official Cash Rate Cut

October 23, 2008 New Zealand Finance  No comments

The Reserve Bank has cut the Official Cash Rate (OCR) to 6.5%.

On Thursday 23rd of October, the Reserve Bank Governor, Alan Bollard, stated that the OCR is cut by 100 basis points, or 1 %, bringing the rate to 6.5%. While this move may seem counter-intuitive considering New Zealand’s recent level of high inflation, the aim of the move was to counter-balance the oncoming times of credit tightening and fears. Governor Alan Bollard said in a statement, that New Zealand is likely to face an oncoming time of low export demand and decreased levels of credit availability. He also predicted a time of decreased consumer and business spending, justifying the OCR rate cut decision...

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Inflation at Highest Rate in 18 Years

October 22, 2008 New Zealand Finance  No comments

According to figured released by Statistics New Zealand, the consumer price index reached a level of 1.5 percent in the September quarter.

The newest figures bring the inflation for the year to 5.1 percent, the highest it has been in the last 18 years. This comes to as no surprise to most analysts, many of whom predicted the exact figure. The rise attributed to a number of increases in the price of the measurement components of the CPI. Petrol and food price increases are attributed as being the two largest.

Food prices in the September quarter rose by 3.7 percent, with an almost 20 percent rise in vegetable prices. The newest food price figures bring the annual rate to 10.8 percent increase. There was a 4.6 percent rise in petrol prices...

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