The benchmark interest rate in New Zealand was last recorded at 3.25 percent. This dataset provides - New Zealand Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

Key information about New Zealand Real Effective Exchange Rate

• New Zealand Real Effective Exchange Rate (REER: 2005=100: Month Avg: New Zealand) was 93.2 in Jan 2025, compared with the number of 94.5 in the previous month.
• New Zealand Real Effective Exchange Rate data is updated monthly and averaged 107.2 from Jan 1984 to Jan 2025.
• The data reached an all-time high of 107.2 in Jul 2014 and a record low of 60.5 in Aug 1984.

CEIC calculates Real Effective Exchange Rate Index with base 2005=100. The Reserve Bank of New Zealand provides Real Effective Exchange Rate Index with base Oct2014=76.57. CPI is used as a deflator. An increase in REER indicates reduced competitiveness for the reporting economy.


Related information about New Zealand Real Effective Exchange Rate

• In the latest reports, New Zealand Short Term Interest Rate: Month End: New Zealand: Bank Accepted Bills: 90 Days was reported at 5.7 % pa in Jun 2023.
• The cash rate (Policy Rate: Month End: New Zealand: Official Cash Rate) was set at 5.5 % pa in Jun 2023.
• New Zealand Exchange Rate against USD averaged 1.6 (USD/NZD) in Jun 2023.

Interbank Rate in New Zealand increased to 3.20 percent on Wednesday July 30 from 3.19 in the previous day. This dataset provides - New Zealand Three Month Interbank Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

Demand for financial asset broking services has been mixed over the past few years. Merger and acquisition (M&A) activity peaked in 2021, spurred by digitisation trends and low interest rates. More recently, inflationary pressures and subdued business sentiment have curtailed M&A plans. Still, demand in the technology and telecommunications sectors, driven by rising interest in AI, continues to offer respite within the broader M&A landscape. Meanwhile, mortgage broking plunged along with new residential mortgage lending over the two years through 2023-24 as dwindling housing affordability weighed on mortgage uptake. However, mortgage activity has since rebounded, as successive cash rate cuts from August 2024 have improved housing affordability and stimulated property transactions. New Zealand’s small market size and strong competition from foreign exchanges, notably the ASX, constrain industry revenue and profitability expansion. Despite rocky market conditions, some segments, like capital raising, have outperformed other investment banking services. Companies seeking to fortify their balance sheets amid a harsh trading environment have bolstered capital-raising activity. Amendments to the NZX’s listing rules in January 2024 to allow accelerated non-renounceable entitlement offers (ANREOs) have provided issuers more flexibility in their fundraising activities, further stimulating capital-raising activity. This shift and mounting appetite for capital-raising activity have partly offset other segments' decline. Overall, industry revenue is expected to nosedive at an annualised 5.8% to $556.4 million over the five years through 2025-26. Nevertheless, improved mortgage uptake and a widespread recovery in the housing market are anticipated to contribute to a 2.2% revenue rise in 2025-26. Stabilising macroeconomic conditions and easing inflation are forecast to improve economic and monetary policy certainty. This environment is likely to narrow valuation gaps between targets and acquirers, supporting a moderate uptick in M&A activity. Nonetheless, heightened recession concerns fuelled by recent US reciprocal tariffs are tempering investor sentiment, limiting the overall momentum for deals. New Zealand’s smaller market size and fewer opportunities on the NZX will continue driving domestic companies to list on larger exchanges like the ASX. While upcoming reforms – like the removal of the requirement to publish prospective financial information for NZX IPOs – may help stimulate the exchange's IPO pipeline, it's unlikely to match foreign markets’ capital appeal. Meanwhile, housing market policies like partially restoring interest deductibility for residential investment loans, shortening the bright-line test and increasing land availability are poised to reignite property transactions. That’s why revenue is projected to rise at an annualised 2.9% to $643.0 million through the end of 2030-31.

Driven by mortgage lending as their largest revenue stream, New Zealand’s banks maintain robust revenues despite cooling property prices. The RBNZ's rate hikes from 0.25% in 2020 to 4.25% in 2024 boosted mortgage interest income. While foreign investment and tight inventories keep real estate prices afloat, technology upgrades and regulations add cost pressures for major banks, squeezing profit margins. After slow revenue from 2020 to 2022 resulting from low interest rates and reduced mortgage revenue, banks found growth in 2023 and 2024, with heightened interest rates raising mortgage revenue. However, a drop-off is expected in 2025 as rate hikes make themselves felt, the actual volumes of mortgages lower and defaults rise with cost-of-living pressures. Overall, industry revenue has risen at an annualised 1.1% over the past five years and is expected to total $31.1 billion in 2024-25, when revenue will drop by an estimated 29.9%. Beyond mortgages, banks face challenges from shifting agricultural lending and evolving regulations like the Deposit Takers Act and the CoFI legislation. Dairy price volatility, land-use changes and more rigorous oversight have subdued traditional farm loan activity. In response, major banks – ANZ, ASB, BNZ and Westpac – are modernising their operations with machine learning, enhanced cybersecurity, fintech developments and updated banking apps. These initiatives aim to elevate customer engagement and ensure compliance but also increase costs and complexity. Looking ahead, heightened capital requirements will push large banks to raise equity, while open banking regulations spur data-sharing and fintech collaborations. Institutions are accelerating investments in cloud systems and analytics for greater efficiency and resilience. Simultaneously, sustainability commitments grow, driving innovative loan products and improving public trust. Although margins remain tight and interest-rate volatility persists, banks balancing prudent lending with technological and sustainable strategies are poised for a moderate recovery. Industry revenue is projected to climb at an annualised 2.5% through 2029-30, reaching $35.2 billion.

Deposit Interest Rate in New Zealand decreased to 4.17 percent in June from 4.18 percent in May of 2025. This dataset includes a chart with historical data for Deposit Interest Rate in New Zealand.

The Financial Asset Investing industry's revenue is largely dictated by the performance of domestic and international financial markets. Volatility in global financial markets due to geopolitical and trade tensions has fuelled revenue volatility. Despite that, robust domestic and international sharemarket gains have underpinned financial asset investors' returns. Industry revenue is expected to fall at an annualised 5.2% over the five years through 2025-26, to total $48.6 billion. This trend includes an anticipated decline of 2.9% in the current year. Industry revenue has been highly volatile, with sharemarket performance remaining relatively strong thanks to tech-driven earnings. Because most expenses are fixed, rising asset bases and solid returns have boosted profitability. Industry participation has jumped, as asset investing becomes more popular among consumers and businesses, including investments in riskier assets like domestic and international equities. To combat unemployment, the RBNZ has repeatedly cut the official cash rate since September 2024. The lower yields have boosted bond prices and investor sentiment, contributing to industry expansion. However, the lower rates have also capped gains as income generated by interest-bearing assets has dipped, offsetting revenue growth. Industry revenue is forecast to grow moving forwards. The lower cash rate environment will push some investors towards riskier asset classes like equities and managed funds. Rising market valuations and inflows will swell industry assets and magnify the scale of returns. With most operating costs fixed, the heightened revenue will support profitability expansion. Robust risk management practices will be crucial to cushion against downside shocks as investors' risk appetite climbs. Financial asset investors likely face stronger competition from funds, including KiwiSaver schemes. Continued inflows into KiwiSaver schemes will limit the industry's asset base expansion as KiwiSaver providers move beyond traditional trust structures. Overall, industry revenue is forecast to grow at an annualised 2.4% over the five years through 2030-31, to reach $54.6 billion.

The NZD/USD exchange rate fell to 0.5882 on August 1, 2025, down 0.08% from the previous session. Over the past month, the New Zealand Dollar has weakened 3.39%, and is down by 1.24% over the last 12 months. New Zealand Dollar - values, historical data, forecasts and news - updated on August of 2025.

The yield on New Zealand 10Y Bond Yield eased to 4.53% on July 31, 2025, marking a 0 percentage point decrease from the previous session. Over the past month, the yield has edged up by 0.03 points and is 0.24 points higher than a year ago, according to over-the-counter interbank yield quotes for this government bond maturity. New Zealand 10-Year Government Bond Yield - values, historical data, forecasts and news - updated on July of 2025.