Prices in New Zealand rose by 1.72 percent in 2020. Central bankers at the Reserve Bank of New Zealand were surely relieved to see the rebound from the dangerously low .29 percent inflation in 2015.

What is inflation?

Inflation is the rise in price levels in an economy. 2 percent inflation means 100 New Zealand dollars will be worth 98 dollars in one year. While the precise inflation target varies, most economists agree that inflation between 2 to 3 percent is optimal for an economy. High inflation can lead to higher unemployment because firms would rather wait and higher workers at the same price using future dollars, making the labor relatively cheaper. However, it affects the trade balance because of the relatively higher purchasing power of foreign currencies.

Other risks of inflation and deflation

Inflation helps a country with higher national debt when the debt is in the local currency, because the country can repay with the future dollars which are relatively cheaper. Deflation, then, helps when debts are in a foreign currency. The main problem with deflation is that investors prefer to hold their money, waiting to invest until it is worth more. This is particularly true of countries like New Zealand, where the lion’s share of employment is in the services sector.

Inflation Rate in New Zealand increased to 2.70 percent in the second quarter of 2025 from 2.50 percent in the first quarter of 2025. This dataset provides - New Zealand Inflation Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

New Zealand: Inflation forecast: The latest value from 2030 is 2.02 percent, unchanged from 2.02 percent in 2029. In comparison, the world average is 3.65 percent, based on data from 182 countries. Historically, the average for New Zealand from 1986 to 2030 is 3 percent. The minimum value, 0.08 percent, was reached in 2015 while the maximum of 18.37 percent was recorded in 1986.

Cost of food in New Zealand increased 4.60 percent in June of 2025 over the same month in the previous year. This dataset provides - New Zealand Food Inflation - actual values, historical data, forecast, chart, statistics, economic calendar and news.

New Zealand Government Securities: Inflation Indexed Bonds: Non Financial Corporations data was reported at 1.000 NZD mn in Oct 2018. This stayed constant from the previous number of 1.000 NZD mn for Sep 2018. New Zealand Government Securities: Inflation Indexed Bonds: Non Financial Corporations data is updated monthly, averaging 1.000 NZD mn from Jul 2015 (Median) to Oct 2018, with 40 observations. The data reached an all-time high of 1.000 NZD mn in Oct 2018 and a record low of 1.000 NZD mn in Oct 2018. New Zealand Government Securities: Inflation Indexed Bonds: Non Financial Corporations data remains active status in CEIC and is reported by Reserve Bank of New Zealand. The data is categorized under Global Database’s New Zealand – Table NZ.Z003: Government Securities.

New Zealand RBNZ Forecast: Consumer Price Index (CPI): YoY: Quarterly data was reported at 2.000 % in Mar 2028. This stayed constant from the previous number of 2.000 % for Dec 2027. New Zealand RBNZ Forecast: Consumer Price Index (CPI): YoY: Quarterly data is updated quarterly, averaging 2.000 % from Sep 2009 (Median) to Mar 2028, with 75 observations. The data reached an all-time high of 7.500 % in Dec 2022 and a record low of 0.000 % in Mar 2015. New Zealand RBNZ Forecast: Consumer Price Index (CPI): YoY: Quarterly data remains active status in CEIC and is reported by Reserve Bank of New Zealand. The data is categorized under Global Database’s New Zealand – Table NZ.I006: Consumer Price Index: Forecast: Reserve Bank of New Zealand.

Core consumer prices in New Zealand increased 3.20 percent in June of 2025 over the same month in the previous year. This dataset provides - New Zealand Core Inflation Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

New Zealand Government Securities: Inflation Indexed Bonds: Non Residents data was reported at 6,444.000 NZD mn in Jun 2018. This records a decrease from the previous number of 6,527.000 NZD mn for May 2018. New Zealand Government Securities: Inflation Indexed Bonds: Non Residents data is updated monthly, averaging 6,016.000 NZD mn from Jul 2015 (Median) to Jun 2018, with 36 observations. The data reached an all-time high of 6,616.000 NZD mn in Apr 2018 and a record low of 5,133.000 NZD mn in Jul 2016. New Zealand Government Securities: Inflation Indexed Bonds: Non Residents data remains active status in CEIC and is reported by Reserve Bank of New Zealand. The data is categorized under Global Database’s New Zealand – Table NZ.Z003: Government Securities.

New Zealand Tradable Inflation: YoY data was reported at 0.300 % in Mar 2025. This records an increase from the previous number of -1.100 % for Dec 2024. New Zealand Tradable Inflation: YoY data is updated quarterly, averaging 0.900 % from Jun 2000 (Median) to Mar 2025, with 100 observations. The data reached an all-time high of 8.700 % in Jun 2022 and a record low of -2.400 % in Mar 2015. New Zealand Tradable Inflation: YoY data remains active status in CEIC and is reported by Stats NZ. The data is categorized under Global Database’s New Zealand – Table NZ.I002: Consumer Price Index: Jun2017=1000.

New Zealand Non Tradable Inflation: YoY data was reported at 4.000 % in Mar 2025. This records a decrease from the previous number of 4.500 % for Dec 2024. New Zealand Non Tradable Inflation: YoY data is updated quarterly, averaging 3.250 % from Jun 2000 (Median) to Mar 2025, with 100 observations. The data reached an all-time high of 6.800 % in Mar 2023 and a record low of 1.500 % in Sep 2015. New Zealand Non Tradable Inflation: YoY data remains active status in CEIC and is reported by Stats NZ. The data is categorized under Global Database’s New Zealand – Table NZ.I002: Consumer Price Index: Jun2017=1000.

The rent price index in New Zealand in the first quarter of 2025 was ***, marking a rise from the same quarter of the previous year. This continued an upward trend of increasing rent prices compared to the base year of 2015.

Portugal, Canada, and the United States were the countries with the highest house price to income ratio in 2024. In all three countries, the index exceeded 130 index points, while the average for all OECD countries stood at 116.2 index points. The index measures the development of housing affordability and is calculated by dividing nominal house price by nominal disposable income per head, with 2015 set as a base year when the index amounted to 100. An index value of 120, for example, would mean that house price growth has outpaced income growth by 20 percent since 2015. How have house prices worldwide changed since the COVID-19 pandemic? House prices started to rise gradually after the global financial crisis (2007–2008), but this trend accelerated with the pandemic. The countries with advanced economies, which usually have mature housing markets, experienced stronger growth than countries with emerging economies. Real house price growth (accounting for inflation) peaked in 2022 and has since lost some of the gain. Although, many countries experienced a decline in house prices, the global house price index shows that property prices in 2023 were still substantially higher than before COVID-19. Renting vs. buying In the past, house prices have grown faster than rents. However, the home affordability has been declining notably, with a direct impact on rental prices. As people struggle to buy a property of their own, they often turn to rental accommodation. This has resulted in a growing demand for rental apartments and soaring rental prices.

New Zealand Government Securities: Inflation Indexed Bonds: Unallocated data was reported at 1.000 NZD mn in Jun 2018. This stayed constant from the previous number of 1.000 NZD mn for May 2018. New Zealand Government Securities: Inflation Indexed Bonds: Unallocated data is updated monthly, averaging 1.000 NZD mn from Jul 2015 (Median) to Jun 2018, with 36 observations. The data reached an all-time high of 3.000 NZD mn in Jan 2016 and a record low of 1.000 NZD mn in Jun 2018. New Zealand Government Securities: Inflation Indexed Bonds: Unallocated data remains active status in CEIC and is reported by Reserve Bank of New Zealand. The data is categorized under Global Database’s New Zealand – Table NZ.Z003: Government Securities.

New Zealand Government Securities: Inflation Indexed Bonds data was reported at 17,300.000 NZD mn in Oct 2018. This records an increase from the previous number of 17,200.000 NZD mn for Sep 2018. New Zealand Government Securities: Inflation Indexed Bonds data is updated monthly, averaging 14,781.000 NZD mn from Jul 2015 (Median) to Oct 2018, with 40 observations. The data reached an all-time high of 17,300.000 NZD mn in Oct 2018 and a record low of 12,900.000 NZD mn in Feb 2016. New Zealand Government Securities: Inflation Indexed Bonds data remains active status in CEIC and is reported by Reserve Bank of New Zealand. The data is categorized under Global Database’s New Zealand – Table NZ.Z003: Government Securities.

New Zealand Government Securities: Inflation Indexed Bonds: Central Government data was reported at 9,193.000 NZD mn in Oct 2018. This records a decrease from the previous number of 9,203.000 NZD mn for Sep 2018. New Zealand Government Securities: Inflation Indexed Bonds: Central Government data is updated monthly, averaging 7,594.000 NZD mn from Jul 2015 (Median) to Oct 2018, with 40 observations. The data reached an all-time high of 9,203.000 NZD mn in Sep 2018 and a record low of 5,656.000 NZD mn in Jul 2015. New Zealand Government Securities: Inflation Indexed Bonds: Central Government data remains active status in CEIC and is reported by Reserve Bank of New Zealand. The data is categorized under Global Database’s New Zealand – Table NZ.Z003: Government Securities.

New Zealand Government Securities: Inflation Indexed Bonds: Unallocated: ow Non Residents Repo data was reported at 290.000 NZD mn in Jun 2018. This records a decrease from the previous number of 453.000 NZD mn for May 2018. New Zealand Government Securities: Inflation Indexed Bonds: Unallocated: ow Non Residents Repo data is updated monthly, averaging 314.000 NZD mn from Jul 2015 (Median) to Jun 2018, with 36 observations. The data reached an all-time high of 493.000 NZD mn in Apr 2018 and a record low of 76.000 NZD mn in Aug 2015. New Zealand Government Securities: Inflation Indexed Bonds: Unallocated: ow Non Residents Repo data remains active status in CEIC and is reported by Reserve Bank of New Zealand. The data is categorized under Global Database’s New Zealand – Table NZ.Z003: Government Securities.

New Zealand Government Securities: Inflation Indexed Bonds: Non Profit Institutions data was reported at 2.000 NZD mn in Oct 2018. This stayed constant from the previous number of 2.000 NZD mn for Sep 2018. New Zealand Government Securities: Inflation Indexed Bonds: Non Profit Institutions data is updated monthly, averaging 2.000 NZD mn from Jul 2015 (Median) to Oct 2018, with 40 observations. The data reached an all-time high of 6.000 NZD mn in Jan 2016 and a record low of 1.000 NZD mn in Oct 2016. New Zealand Government Securities: Inflation Indexed Bonds: Non Profit Institutions data remains active status in CEIC and is reported by Reserve Bank of New Zealand. The data is categorized under Global Database’s New Zealand – Table NZ.Z003: Government Securities.

The Gross Domestic Product per capita in New Zealand was last recorded at 41416.28 US dollars in 2024. The GDP per Capita in New Zealand is equivalent to 328 percent of the world's average. This dataset provides - New Zealand GDP per capita - actual values, historical data, forecast, chart, statistics, economic calendar and news.

New Zealand Government Securities: Secondary Market: Inflation Indexed Bonds data was reported at 15,900.000 NZD mn in Jun 2018. This records an increase from the previous number of 15,800.000 NZD mn for May 2018. New Zealand Government Securities: Secondary Market: Inflation Indexed Bonds data is updated monthly, averaging 13,071.000 NZD mn from Jul 2015 (Median) to Jun 2018, with 36 observations. The data reached an all-time high of 15,900.000 NZD mn in Jun 2018 and a record low of 12,000.000 NZD mn in Feb 2016. New Zealand Government Securities: Secondary Market: Inflation Indexed Bonds data remains active status in CEIC and is reported by Reserve Bank of New Zealand. The data is categorized under Global Database’s New Zealand – Table NZ.Z003: Government Securities.

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.