Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


BNZ Weekly Overview + Survey Feb. 17

BNZ Weekly Overview
The key points of this week's publication include the following.

The main interesting things we have learned over the past week include the following.

- New Zealand's labour market is so tight we have the lowest unemployment rate in the OECD at 3.6%. But with the number of hours worked up just over 4% for the year and output up just under 5% productivity growth has slowed and is low at a time when the Reserve Bank needs it rising to keep inflationary pressures under control.

- Retail spending volumes were weak over the December quarter, rising just 0.7%. But our more up to date debit and credit card data show things recovered in January - perhaps at the expense of margins. The retailing sector is going through some interesting competitive times.

- Consumer confidence has eased a tad since the last monthly survey in December but remains above average and therefore suggestive of reasonable consumer spending strength.

- The swap rates at which we banks borrow to lend fixed have risen to two and half year highs for the popular 2-3 year terms as corporate borrowers scramble to get protection against rising floating rates and the markets build in expectations of monetary policy tightening both here and across the Tasman.


The Weekly Overview is freely available to all BNZ staff, customers, and the public with a centralised EMAIL ONLY distribution list managed here. If you wish to add, change or delete an email address please reply to this message or email Sections of the WO may be reproduced by anyone other than mortgage brokers provided the BNZ is noted as the source.

If you fail to receive the WO in a week please go to and look for it under "About Us" on Friday afternoon. Failed emails will not be resent or requests for such answered given the workload involved.

Best Regards

Tony Alexander Chief Economist Bank of New Zealand

© Scoop Media

Business Headlines | Sci-Tech Headlines


Media Mega Merger: StuffMe Hearing Argues Over Moveable Feast

New Zealand's two largest news publishers are appealing against the Commerce Commission's rejection of the proposal to merge their operations. More>>


Approval: Northern Corridor Decision Released

The approval gives the green light to construction of the last link of Auckland’s Western Ring Route, providing an alternative route from South Auckland to the North Shore. More>>


Crown Accounts: $4.1 Billion Surplus

The New Zealand Government has achieved its third fiscal surplus in a row with the Crown accounts for the year ended 30 June 2017 showing an OBEGAL surplus of $4.1 billion, $2.2 billion stronger than last year, Finance Minister Steven Joyce says. More>>


Mycoplasma Bovis: One New Property Tests Positive

The newly identified property... was already under a Restricted Place notice under the Biosecurity Act. More>>

Accounting Scandal: Suspension Of Fuji Xerox From All-Of-Government Contract

General Manager of New Zealand Government Procurement John Ivil says, “FXNZ has been formally suspended from the Print Technology and Associated Services (PTAS) contract and terminated from the Office Supplies contract.” More>>