Annual inflation in ‘target band’

The consumers price index (CPI) increased 2.2 per cent in the September 2024 quarter when compared with the same period a year ago, according to the latest figures from Stats NZ.

Nicola Growden, consumer prices manager, says the rise follows a 3.3 per cent increase in the June quarter. 

“For the first time since March 2021, annual inflation is within the Reserve Bank of New Zealand’s target band of one to three per cent,” she adds. “Prices are still rising, but not as much as previously recorded.” 

Higher rent prices, up 4.5 per cent, was the biggest contributor to the annual inflation rate and accounted for nearly one-fifth of the CPI increase.

As for the transport group, its prices fell 5.3 per cent year-on-year. This included the purchase of vehicles dropping 7.3 per cent and passenger transport services slipping by seven per cent.

Stats NZ’s latest figures also show the CPI rose by 0.6 per cent in the September 2024 quarter from the previous three-month period.

The transport group fell 2.1 per cent over the same time frame, with the purchase of vehicles slipping 1.7 per cent and passenger transport services growing by 2.4 per cent.