The central bank of New Zealand raised its benchmark rate by 0.25 percentage points on 9 July 2026. The decision ends a pause that began in 2023. In reaction, the country’s major lenders lifted their own lending rates. ASB Bank said the increase marks the end of the era of historic mortgage rates. Analysts at UBS said the rate rise puts added strain on the currency and anticipate more adjustments later this year. The central bank’s action aims to move toward a balanced position.