Marlborough’s economy has been building at the fastest pace experienced in more than a decade.

Since 2007, Marlborough’s economic performance has been affected by a series of events; not only by the global financial crisis but also drought, consolidation of the wine industry and the effect of earthquakes.

However, the latest quarterly economic data from Infometrics estimates GDP growth for Marlborough in the year to March 2018 was 4.4%, outstripping the national rate of 2.7%. At the same time unemployment continues to track below the national picture, now sitting at 2.8%, a return to the low level not seen since in Marlborough 2009.

With most indicators at or above the national figures, this report shows how well the region is doing, and particularly how it is bouncing back from the Kaikōura quake, says Marlborough Mayor John Leggett.

“The statistics confirm anecdotal feedback; we have a strengthening economy showing steady and consistent growth and perhaps the biggest problem is that our businesses just can’t get enough workers.”

Infometrics attributes Marlborough’s economic growth to post-quake rebuilding, improving outlooks for key export industries, strong population growth and tourism revival.

Traffic flows through the region, disrupted by the earthquake, have recovered since SH1 was reopened, boosting summer tourism activity and pushing up visitor spending.

Infometrics predicts the road reopening will bring further recovery for the tourism sector over winter when the majority of Marlborough’s domestic visitors arrive by road from Canterbury.

Marlborough’s construction sector is humming, with consents issued for $53M of non-residential projects over the year to March. That’s a 19.2% jump on the previous year. At the same time, the number of residential dwelling consents issued has climbed by almost a third.

Other economic indicators also point to the resurgence in the construction and visitor sectors:

• Registration of new commercial vehicles (up 19.3%) and cars (up 10.5%) has been running well ahead of the national average

• Retail sales have been buoyant – up 7.8% on the previous year

• Total tourism spending in Marlborough continues to rise, last year showing a 7.8% improvement, not far behind the national average increase of 9.3%.

To see the latest Infometrics report on Marlborough’s economy go to the Council’s website: https://ecoprofile.infometrics.co.nz/Marlborough+Region/QuarterlyEconomicMonitor

ENDS

© Scoop Media