Inflation is expected to keep easing in the months to come. 

Overall inflation is back within the target range at 2.2% due to falling prices for imports like petrol and diesel. 

Domestically-driven non-tradeable inflation remains much higher at 4.9%, due to a sharp rise in rents, council rates and insurance premiums. 

ASB Chief Economist Nick Tuffley told Ryan Bridge that inflation is expected to remain close to 2% over the next few years, with a chance of it edging below towards the end of 2025/26. 

He says it would take something quite drastic to push it back up.  

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