New Zealand holds key interest rate steady

New Zealand's central bank left its key interest rate unchanged on Wednesday, in its last decision before the country's election.

The rate of 5.5 percent is "constraining economic activity and reducing inflationary pressure as required", the bank said in its policy statement.

Inflation stands at six percent, with the bank's target range being between one and three percent, reports BSS/AFP.

"Globally, economic growth remains below trend and headline inflation has eased for most of our trading partners," the bank said.

"Core inflation has also eased, but to a lesser extent."

New Zealanders cast their vote on October 14, with opinion polls showing the ruling centre-left Labour Party lagging behind the conservative National Party.