NZ: Muted economic growth – Westpac

According to Michael Gordon, senior economist at Westpac, New Zealand’s economic performance was muted over the first half of 2019, with a 0.5% rise in June quarter GDP that followed a 0.6% rise in the March quarter.

Key Quotes

“Annual growth over the last year slowed to 2.4%, the lowest since 2013 – though that was at a time when population growth was slower than it is today. In per capita terms, annual growth slowed to 0.8%, its lowest since 2011.”

“Growth in the services sectors picked up, although the results were still mixed.”

“Manufacturing, mining and construction dropped back after sharp gains in the previous quarter.”

“The pace of growth has slowed markedly in the last couple of years, in part due to weak business confidence and a more subdued housing market. Lower interest rates will have an important bearing on the latter in coming quarters.”