The Reserve Bank of New Zealand (RBNZ) announced on Thursday its monetary policy decision, made at its August meeting. As widely expected, New Zealand's regulator did not make any changes to the policy stance, leaving the cash rate unchanged at 1.75 percent.

The RBNZ Governor Graeme Wheeler in his rate statement reaffirmed that interest rates would "remain accommodative for a considerable period," noting that "numerous uncertainties remain and policy may need to adjust accordingly."

According to the statement, economics growth "is expected to improve going forward," while headline inflation "is likely to decline in coming quarters as the effects of higher fuel and food prices dissipate," and house price inflation is forecast to continue to moderate.

Wheeler also noted the trade-weighted exchange rate had strengthened since the May Statement, adding that "a lower New Zealand dollar is needed to increase tradables inflation and help deliver more balanced growth."