FX.co ★ New Zealand CPI Inflation Cools Sharply to 0.7% in Q3 2026, Signalling Loss of Price Momentum

New Zealand’s consumer price inflation slowed markedly in the third quarter of 2026, with the CPI rising 0.7% quarter-over-quarter, down from a 1.5% increase in the second quarter. The latest data, updated on 21 October 2026, point to a clear moderation in price pressures across the economy.

On a quarter-over-quarter basis, the “actual” comparison shows that the pace of price growth in Q3 2026 was less than half that of Q2 2026. The previous quarter’s 1.5% rise had itself been measured against the first quarter of 2026, while the new 0.7% figure reflects the change from Q2 to Q3 2026.

The sharp deceleration suggests that inflationary momentum is easing, which could influence expectations around future monetary policy and household purchasing power. However, the data only describe the change in the rate of inflation and do not indicate which specific sectors or categories drove the slowdown.