Homeowners may feel relief after the Reserve Bank cut its official cash rate by 25 basis points to a record low of 2.5 per cent. Most economists had expected the bank to cut its rate, but market pricing suggested that there was some difference of opinion. ANZ Bank, New Zealand's biggest bank has cut its rates, reducing its floating home rate by 25 basis points to 5.74 per cent. The Reserve Bank said growth in the New Zealand economy had softened this year, due mainly to lower terms of trade. Source: RBNZ
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