New Zealand isn't expected to follow Australia, when it comes to interest rates.

Economists expect the Reserve Bank to lift the OCR by another 50 basis points today, bringing it to 3.5 percent.

Yesterday, Australia's central bank surprised experts by opting for a more modest 25 basis point rise.

Infometrics Principal Economist Brad Olsen told Tim Dower our Reserve Bank must not follow that lead.

“Pricing pressure is still far too high and taking our foot off the brake now could well leave inflation sitting far higher far longer.”

LISTEN ABOVE

• Reserve Bank of Australia increases cash rate to 2.6 percent
• Banks have been lifting their test mortgage rates, impacting future home-buyers