ISSUE
Friday, November 21, 2025
Volume 16 . Issue 86
The Reserve Bank has lowered the official cash rate (OCR) to its lowest level in three years, cutting it by 25 basis points to 2.25 percent in a move aimed at supporting economic recovery.
The new rate marks the lowest OCR setting since June 2022.
According to the bank’s monetary policy committee, the economic recovery remains uneven and sluggish, but inflation is expected to ease next year, which could allow room for another reduction. The committee had signalled that the cut was anticipated, confirming that the OCR has now reached a three-year low.
Markets and analysts are expected to focus on the central bank’s commentary and forecasts, particularly on how much scope it sees for a further cut next year if conditions require it.
Recent partial indicators over the past two months have suggested that the economy may be beginning to turn the corner, following a period in which growth had effectively stalled during the first half of the year.
The Reserve Bank has lowered the official cash rate (OCR) to its lowest level in three years, cutting it by 25 basis points to 2.25 percent in a move aimed at supporting economic recovery.
The new rate marks the lowest OCR setting since June 2022.
According to the bank’s monetary policy committee,...
The Reserve Bank has lowered the official cash rate (OCR) to its lowest level in three years, cutting it by 25 basis points to 2.25 percent in a move aimed at supporting economic recovery.
The new rate marks the lowest OCR setting since June 2022.
According to the bank’s monetary policy committee, the economic recovery remains uneven and sluggish, but inflation is expected to ease next year, which could allow room for another reduction. The committee had signalled that the cut was anticipated, confirming that the OCR has now reached a three-year low.
Markets and analysts are expected to focus on the central bank’s commentary and forecasts, particularly on how much scope it sees for a further cut next year if conditions require it.
Recent partial indicators over the past two months have suggested that the economy may be beginning to turn the corner, following a period in which growth had effectively stalled during the first half of the year.
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