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

 


Annual current account deficit up as exports fall

Annual current account deficit up as exports fall – Media release

20 March 2013

New Zealand's current account deficit for the year ended December 2012 was $10.5 billion (5.0 percent of GDP), Statistics New Zealand said today.

A current account deficit means the rest of the world earned more from New Zealand than New Zealand earned from overseas.

The increase in the deficit from $9.9 billion (4.7 percent of GDP) for the year ended September 2012 was mainly due to a $1.3 billion fall in exports of goods and services. Exports of dairy and crude oil were both lower than for the September 2012 year, while expenditure by overseas visitors to New Zealand also fell.

"Dairy prices were much lower than a year ago, while overseas visitor spending has fallen from last year's boost by the Rugby World Cup," balance of payments manager John Morris said.

Quarterly current account deficit also increases

In the December 2012 quarter, New Zealand's current account balance, when adjusted for seasonal factors, was a deficit of $2.7 billion. This compares with a deficit of $2.5 billion for the previous quarter.

The larger deficit this quarter was mainly due to a rise in income earned by foreign investors in New Zealand. Foreign shareholders in New Zealand companies received larger dividend payments in the latest quarter.

New Zealand funded the current account deficit mainly by borrowing from overseas. Foreign investors purchased $3.1 billion of government bonds this quarter.

As a result of this increased borrowing, New Zealand's net international liability position was $150.0 billion (71.7 percent of GDP) at 31 December 2012, up $2.2 billion from 30 September 2012.

ENDS

For more information about these statistics:
• Visit Balance of Payments and International Investment Position: December 2012 quarter

http://img.scoop.co.nz/media/pdfs/1303/BalanceOfPaymentsDec12qtr.pdf

http://img.scoop.co.nz/media/pdfs/1303/bopiipdec2012alltables.xls

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Trade Agreements: TPP Minus US Starting To Gain Ground

The Japanese government is picking up the pace on reviving the Trans-Pacific Partnership trade and investment deal, with talks scheduled next month among the 11 countries left in the pact after the withdrawal by the US after the election of president Donald Trump. More>>

ALSO:

PACER:

Prices Up 2.2%: Annual Inflation Highest In Over Five Years

"Rising petrol prices along with the annual rise in cigarette and tobacco tax lifted inflation," prices senior manager Jason Attewell said. "Petrol prices in New Zealand are closely linked to global oil prices, and cigarettes and tobacco taxes rise in the March quarter each year". More>>

ALSO:

Undertaxed? NZ Income Tax Rate Second Lowest Among Developed Nations

New Zealand workers pay the second smallest portion of their income to the government among developed nations and less than half the average ratio of their Organisation for Economic Cooperation and Development peers. More>>

ALSO:

Cyclone Cook: Round Up Of This Week’s Weather

One of the significant impacts this week was flooding due to excessive rainfall amounts. Rainfall amounts topped out at 350mm over the past 60 hours in parts of northwest Nelson, with 200mm+ measurements recorded about Coromandel Peninsula, and between 150-200mm in the Kaimai Ranges. Rainfall amounts of between 30-50mm were commonplace elsewhere. More>>

ALSO:

Earlier: Batten Down The Hatches For Cyclone Cook

Although fast-moving, Cyclone Cook will be destructive and MetService Expert Meteorologists have issued Severe Wind Warnings for the whole of the North Island apart from Northland... More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news