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New Zealanders Expect Inflation to Rise to 5.6% Over Next Year, RBNZ Survey Shows

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The mean one-year-ahead expected inflation in New Zealand was 5.6% in the June quarter, up from 5.2% in the previous quarter, while the perception of current inflation came in at 7.5%, according to a survey by the Reserve Bank of New Zealand (RBNZ) released on Wednesday.

In the June quarter, the inflation rate is expected to rise to a mean of 4.9% in two years and 4% in five years, up from 3.4% and 3.3%, respectively, in the March quarter.

Meanwhile, nearly 41% of New Zealanders now expect higher house prices, compared with about 48% in the March quarter. The annual inflation rate for house prices is expected to clock in at a mean of 1.5% in a year and 5.9% in five years.

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