NZ’s economy shrinks 0.2% Q2 ’24 – data

New Zealand’s economy contracted by 0.2 per cent in the June 2024 quarter, following a slight increase of 0.1 per cent in the previous quarter, according to a report published by Stats NZ on Thursday.

The decline was driven by various industries such as retail trade, accommodation, agriculture, forestry, fishing, and wholesale trade. Forestry and logging were hit hard, resulting in decreased exports of forestry products.

Despite the overall contraction, seven out of sixteen industries experienced growth, with manufacturing leading the way. Increased production of transport equipment, machinery, and equipment contributed significantly to this rise.

GDP per capita also decreased by 0.5 per cent in the June 2024 quarter, marking the first decline since September 2022. On an annual basis, GDP per capita fell by 2.7 per cent to the year ended June 2024.

The expenditure measure of GDP remained unchanged at 0.0 per cent in the quarter. Household spending increased by 0.4 per cent, driven by purchases of non-durable items and services.

Attribution: Stats NZ report

Subediting: M. S. Salama