NZ's Reserve Bank, has three main functions. In other words, the Bank is working to maintain the spending power of the dollar. That means savings and investment decisions are distorted.
Savings go into for example, real estate.
Businesses remove their investments and put them into inflation protection schemes and tax avoidance. The Consumer Price Index is the headline rate of inflation. Underlying inflation is the adjusted Consumer Price Index level after the caveats have been taken into account and, according to the Bank, is the appropriate measure of inflation trends. The prices of items in these categories are regularly surveyed by Statistics NZ and the CPI is published every three months. This is one of the main jobs of its Economics Department staff.