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The Reserve Bank of New Zealand (RBNZ) released its Monetary Policy Statement today, February 18, 2026, maintaining the Official Cash Rate (OCR) at 2.25%, as anticipated following prior cuts. The decision reflects a cautious stance amid a patchy economic recovery and inflation nearing the 2% midpoint target.
Policy Highlights
The Monetary Policy Committee voted to hold rates steady, emphasizing balanced inflation risks and spare capacity in the economy. Governor Anna Breman noted low tolerance for delays in achieving inflation goals, leaving flexibility for future adjustments.
Market Reaction
NZD saw modest gains post-announcement, supported by the in-line hold amid stabilizing forecasts. Analysts view this as a potential bottoming of the easing cycle, with focus on upcoming data like employment figures.
