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April 17, 2024 1 min

Inflation is proving to be a hard dragon to slay. 

Annual inflation has dropped to 4%, sitting above the Reserve Bank forecast of 3.8%. 

Non-tradable inflation —on final goods and services that don't face foreign competition— remains very high at 5.8%, well above the Bank's forecast of 5.3%. 

Kiwibank Chief Economist, Jarrod Kerr, told Heather du-Plessis Allan that inflation is now being driven by domestic factors. 

He says migration is pushing up rents, climate change is pushing up insurance, and infrastructure problems are pushing up council rates. 

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