Belief inflation's peaked - and it's all downhill from here

It reached three-percent in the year to September - up from 2.2 percent the year before.

Kiwibank says the third quarter is traditionally tough - and conditions are likely to improve as the year ends.

Chief Economist Jarrod Kerr says he's satisfied domestic prices will now ease.

He is forecasting this time next year, inflation will sit around 1.8-percent.