NZ: December quarter GDP likely to rise by 0.3% - Westpac

Michael Gordon, senior economist at Westpac, suggests that they are expecting a 0.3% rise in New Zealand’s December quarter GDP, less than market expectations or the Reserve Bank’s forecast.

Key Quotes

“There seems to have been a genuine slowdown in growth over late 2018, though it was exacerbated by some temporary disruptions in the energy sector.”

“Both the New Zealand and Australian economies have slowed in recent times, but for different reasons. Household spending and construction were highlights for New Zealand in the December quarter.”

“We expect the annual current account deficit to widen to 3.9% of GDP, a six-year high. The terms of trade fell over 2018 and import volumes have remained strong.”