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

 

I Sing The Highway Electric: Charge Net NZ To Connect New Zealand

BMW is turning Middle Earth electric after today announcing a substantial contribution to the charging network Charge Net NZ. This landmark partnership will enable Kiwis to drive their electric vehicles (EVs) right across New Zealand through the installation of a fast charging highway stretching from Kaitaia to Invercargill. More>>

ALSO:

Watch This Space: Mahia Rocket Lab Launch Site Officially Opened

Economic Development Minster Steven Joyce today opened New Zealand’s first orbital launch site, Rocket Lab Launch Complex 1, on the Mahia Peninsula on the North Island’s east coast. More>>

Earlier:

Marketing Rocks!
Ig Nobel Award Winners Assess The Personality Of Rocks

A Massey University marketing lecturer has received the 2016 Ig Nobel Prize for economics for a research project that asked university students to describe the “brand personalities” of three rocks. More>>

ALSO:

Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>

ALSO:

Half A Billion Accounts, Including Xtra: Yahoo Confirms Huge Data Breach

The account information may have included names, email addresses, telephone numbers, dates of birth, hashed passwords (the vast majority with bcrypt) and, in some cases, encrypted or unencrypted security questions and answers. More>>

ALSO:

Rural Branches: Westpac To Close 19 Branches, ANZ Looks At 7

Westpac confirms it will close nineteen branches across the country; ANZ closes its Ngaruawahia branch and is consulting on plans to close six more branches; The bank workers union says many of its members are nervous about their futures and asking ... More>>

Interest Rates: RBNZ's Wheeler Keeps OCR At 2%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2 percent and said more easing will be needed to get inflation back within the target band. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news