The Reserve Bank of New Zealand kept the interest rate unchanged by a 4-to-3 vote, causing the New Zealand dollar to fall.

The Reserve Bank of New Zealand unexpectedly kept its key interest rate unchanged, citing global uncertainties affecting domestic demand. The New Zealand dollar subsequently fell. In its statement, the Reserve Bank of New Zealand noted that committee members differed in the level of concern over various risks and the timing of monetary policy responses. The committee unanimously believed that further tightening of monetary policy might still be needed, but this remains dependent on the economic outlook. The decision to leave the rate unchanged was made by a vote of 4 to 3. Paul Conway, Hailey Gourley, and Karen Silk voted in favor of a 25 basis point hike. Governor Anna Breman and committee member Prasanna Gai were among the four who voted to maintain the current rate, citing the significant risk posed by the possibility that the global environment could shift suddenly. This decision comes with only ten days left before New Zealand's general election. Currently, the center-right coalition government is facing a closely contested race, while the opposition Labour-led center-left bloc has proposed restoring the Reserve Bank of New Zealand's dual mandate of price stability and full employment.