Consumer prices in New Zealand increased 1.9 percent year-on-year in the third quarter of 2018 following a 1.5 percent increase in the previous quarter. The print came above consensus expectations (1.7 percent) and was the highest rate in four quarters. Higher inflation was mainly explained by a 19 percent jump in petrol prices, which also nudged transport prices higher (+5.6 percent). Meantime, housing and household utilities increased 3.1 percent with construction up 4.1 percent, rentals rising 2.3 percent and local authority rates up 5.1 percent. Inflation Rate in New Zealand averaged 4.67 percent from 1918 until 2018, reaching an all time high of 44 percent in the third quarter of 1918 and a record low of -15.30 percent in the first quarter of 1923.
Inflation Rate in New Zealand is expected to be 1.40 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Inflation Rate in New Zealand to stand at 1.90 in 12 months time. In the long-term, the New Zealand Inflation Rate is projected to trend around 2.10 percent in 2020, according to our econometric models.