ANZ economist Sharon Zollner expects the RBNZ to prioritize risk management at
next week’s policy meeting and raise the official cash rate by 25bps. She says
the OCR remains roughly 75bps below the RBNZ’s central estimate of neutral and
that, with a supportive economic backdrop, a softer-than-expected NZD and
inflation likely to stay above target for some time, a rate hike would be
prudent.
