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ASB Bank Quarterly Economic Prospects

Both the Reserve Bank and Treasury are forecasting strong growth for the NZ economy over the March year 2001/02 (i.e. 3.5% and 3.7% respectively).

Though we are expecting a recovery, we believe that the risk of a global economic slowdown is sufficient to suggest that domestic economic growth is likely to be somewhat weaker, averaging approximately 2.8% over the next two years.

ASB Bank's latest quarterly forecasts can be accessed by clicking on the following web address:

http://www.asbsecurities.co.nz/static/home/economicreports/pdf/December%20 00%20QP.pdf

Jennifer Innes Economist ASB Bank (09) 374-8848 jennifer.innes@asbbank.co.nz


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