The Reserve Bank of New Zealand raised its benchmark rate by 0.25 percentage points on 9 July 2026. The move ends a pause that began in 2023. In response, the nation’s biggest banks lifted their own interest rates. ASB Bank said the hike marks the end of the era of historic mortgage rates. Analysts at UBS said the policy shift puts further pressure on the New Zealand dollar and expect more rate moves later this year. The central bank’s action aims to move toward a balanced position.