New Zealand central bank hikes benchmark rate to 2.5 percent

A security guard stands in the main entrance to the Reserve Bank of New Zealand located in central Wellington, New Zealand, on July 3, 2017 [File: David Gray/Reuters]

New Zealand’s central bank on Wednesday lifted its benchmark interest rate by half a percentage point to 2.5 percent as it attempts to curb inflation.

It was the third time this year that the Reserve Bank of New Zealand has lifted the cash rate by 50 basis points, following hikes in April and May. There was also a quarter percentage point rise in February.