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

 


NZ business confidence climbs to 19-month high, exports lag

NZ business confidence climbs to 19-month high, with exports the laggard

Feb. 28 (BusinessDesk) – New Zealand business confidence rose to a 19-month high this month, with gains in all five sectors tracked as companies become more bullish about investment, profits and hiring.

A net 39.4 percent of firms polled in the ANZ Business Outlook expect general business conditions to improve in the year ahead, up from 23 percent a month earlier. A net 38 percent of firms are more optimistic about their own prospects, up from 31 percent.

The monthly survey follows other signs that the economy is picking up. The benchmark NZX 50 Index of leading companies is at a five-year high, retail sales are growing and consumer confidence is at a 32-month high.

Export intentions were the outlier, according to ANZ chief economist Cameron Bagrie. A net 13 percent of firms expect to increase exports in the next 12 months, below the long-term average of 32 percent.

“The main culprit is obvious – a New Zealand dollar that continues to be out of line with local fundamentals,” Bagrie said.

Profitability expectations rose to 14 percent from 8.8 percent, while a net 16 percent aimed to increase investment, up from 14 percent. Hiring intentions rose to 11 percent from 8 percent.

Inflation expectations nudged up to 2.31 percent from 2.23 percent, while ease of credit retreated to 8.5 percent from 15 percent. A net 18 percent planned to raise3 prices over the next 12 months, from 15 percent in the previous month’s survey.

By sector, construction firms were the most bullish on the general economy, at 50 percent, though on their own activity in the next 12 months the reading slipped to 35.7 percent. Agriculture was the least confident, with a net 6.5 percent seeing a general improvement in business conditions and a net 23 percent seeing a pickup in their own business.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Power Outages, Roads Close: Easter Storm Moving Down Country

The NZ Transport Agency says storm conditions at the start of the Easter break are making driving hazardous in Auckland and Northland and it advises people extreme care is needed on the regions’ state highways and roads... More>>

ALSO:

Houses (& Tobacco) Lead Inflation: CPI Up 0.3% In March Quarter

The consumers price index (CPI) rose 0.3 percent in the March 2014 quarter, Statistics New Zealand said today. Higher tobacco and housing prices were partly countered by seasonally cheaper international air fares, vegetables, and package holidays. More>>

ALSO:

Notoriously Reliable Predictions: Budget To Show Rise In Full-Time Income To 2018: English

This year’s Budget will forecast wage increases through to 2018 amounting to a $10,500 a year increase in average full time earnings over six years to $62,200 a year, says Finance Minister Bill English in a speech urging voters not to “put all of this at risk” by changing the government. More>>

ALSO:

Prices Up, Volume Down: March NZ House Sales Drop 10% As Loan Curbs Bite

New Zealand house sales dropped 10 percent in March from a year earlier as the Reserve Bank’s restrictions on low-equity mortgages continue to weigh on sales of cheaper property. More>>

ALSO:

Scoop Business: Chorus To Appeal Copper Pricing Judgment

Chorus will appeal a High Court ruling upholding the Commerce Commission’s determination setting the regulated prices on the telecommunications network operator’s copper lines. More>>

ALSO:

Earlier:

Cars: Precautionary Recalls Announced For Toyota Vehicles

Toyota advises that a number of its New Zealand vehicles are affected by a series of precautionary global recalls. Toyota New Zealand General Manager Customer Services Spencer Morris stressed that the recalls are precautionary. More>>

ALSO:

'Gardening Club': Air Freight Cartel Nets Almost $12 Million In Penalties

The High Court in Auckland has today ordered Swiss company Kuehne + Nagel International AG to pay a penalty of $3.1 million plus costs for breaches of the Commerce Act. Kuehne + Nagel’s penalty brings the total penalties ordered in this case to $11.95 million ... More>>

ALSO:

Crown Accounts: Revenue Below Projections

Core Crown tax revenue has increased by $1.9 billion (or 5.0%) compared to the same time last year. However this was $1.1 billion less than expected and is reflected across most tax types, continuing the pattern of recent months. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news