Inflation dips but still above target, and fuel prices not only to blame

The rate of price increases in New Zealand has decreased from 4.1% to 3.7%. Despite this downward trend, the current inflation figure remains above the Reserve Bank's target range of 1% to 3%.

While fuel costs often drive economic fluctuations, analysis indicates that fuel prices are not solely responsible for keeping the inflation rate elevated above the central bank's desired threshold.