Annual inflation falls
The consumers price index (CPI) increased 4.7 per cent in the year to the December 2023 quarter but was down from the previous rate of 5.6 per cent, according to Stats NZ.
Nicola Growden, consumers prices senior manager, says while it is the smallest rise for the annual inflation rate in more than two years, “it remains above the Reserve Bank of New Zealand’s target range of one to three per cent”.
Housing and household utilities were the largest contributor to the December 2023 quarter rate, mainly driven by higher prices for rent, construction and rates.
The CPI rose by 0.5 per cent in the December 2023 quarter alone, with increasing prices for housing and household utilities offset by lower prices for food.
A breakdown of the data shows the transport group fell 0.3 per cent quarter-on-quarter.
A two per cent plunge in vehicle purchasing, which is part of the group, was tempered by increases for private transport supplies and services, and passenger transport services of 0.6 and 0.2 per cent respectively.
Inflation for the transport group came in at 3.3 per cent in the 12 months to the December 2023 quarter, with vehicle purchase prices increasing three per cent in the same period.
