Annual inflation returning within 1-3% target band (Il Sole 24 Ore Radiocor) - Wellington, 14 Aug - The Reserve Bank of New Zealand said that its Monetary Policy Committee decided to reduce the Official Cash Rate by 25 basis points to 5.25% from 5.50% previously as annual inflation stabilises within the bank's target band of 1-3%.

The central bank said that "New Zealand's annual consumer price inflation is returning to within the Monetary Policy Committee's 1 to 3 percent target band. Surveyed inflation expectations, firms' pricing behaviour, headline inflation, and a variety of core inflation measures are moving consistent with low and stable inflation." It added that the "pace of further easing will depend on the Committee's confidence that pricing behaviour remain consistent with a low inflation environment, and that inflation expectations are anchored around the 2 percent target.".

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(RADIOCOR) 14-08-24 08:01:31 (0089) 5 NNNN