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

 


Imports drive larger current account deficit

Imports drive larger current account deficit – Media release

18 December 2013

New Zealand's seasonally adjusted current account deficit was $2.6 billion in the September 2013 quarter, Statistics New Zealand said today. This is a $0.3 billion larger deficit than in the June 2013 quarter, and the largest current account deficit since the December 2008 quarter.

The increase in the deficit this quarter was mainly due to imports of goods and services increasing by more than exports.

"For the first time in five years, New Zealand imported more goods and services than we exported," balance of payments manager Jason Attewell said.

Goods imports increasing by more than goods exports also drove the increase in New Zealand's annual current account deficit. The deficit increased from $8.2 billion (3.9 percent of GDP) in the June 2013 year to $8.8 billion (4.1 percent of GDP) in the September 2013 year.

In this release, we include improvements to estimates for spending by international visitors and students in New Zealand. We also include an estimate for imports of goods valued below the $1,000 Customs threshold for the first time. The current account balance has been revised back to the June 1982 quarter.

"These data improvements decreased our average current account deficit as a percentage of GDP to 4.8 percent over the last 10 years, from 5.6 percent," Mr Attewell said.

 Net international liabilities decrease

At 30 September 2013, New Zealand's net international liability position was $150.1 billion (69.5 percent of GDP), down from 151.6 billion (71.2 percent of GDP) at 30 June 2013. The smaller net position in the latest quarter was driven by changes in the value of New Zealand's overseas assets and liabilities, rather than transactions through the financial account.

Within the net international liability position, the banking sector reduced their borrowing by $9.2 billion. As a result, the banking sector's net overseas debt fell to its lowest level since the March 2007 quarter.

Visit Balance of Payments and International Investment Position: September 2013 quarter

BalanceOfPaymentsSep13qtr.pdf

bopiipsep13qtralltables.xls

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Media: Julian Wilcox Leaves Māori TV

Māori Television has confirmed the resignation of Head of News and Production Julian Wilcox. Mr Maxwell acknowledged Mr Wilcox’s significant contribution to Māori Television since joining the organisation in 2004. More>>

ALSO:

Genetics: New Heat Tolerant Cow Developed

Hamilton, New Zealand-based Dairy Solutionz Ltd has led an expert genetics team to develop a new dairy cow breed conditioned to thrive in lower elevation tropical climates and achieve high milk production under heat stress. More>>

Fractals: Thousands More Business Cards Needed To Build Giant Sponge

New Zealand is taking part in a global event this weekend to build a Menger Sponge using 15 million business cards but local organisers say they are thousands of business cards short. More>>

Scoop Business: NZ Net Migration Rises To Annual Record In September

New Zealand’s annual net migration rose to a record in September, beating government forecasts, as the inflow was spurred by student arrivals from India and Kiwis returning home from Australia. More>>

ALSO:

Scoop Business: Fletcher To Close Its Christchurch Insulation Plant, Cut 29 Jobs

Fletcher Building, New Zealand’s largest listed company, will close its Christchurch insulation factory, as it consolidates its Tasman Insulations operations in a “highly competitive market”. More>>

ALSO:

Scoop Business: Novartis Adds Nine New Treatments Under Pharmac Deal

Novartis New Zealand, the local unit of the global pharmaceuticals firm, has added nine new treatments in a far-ranging agreement with government drug buying agency, Pharmac. More>>

ALSO:

Crown Accounts: English Wary On Tax Take, Could Threaten Surplus

Finance Minister Bill English is warning the tax take may come in below forecast in the current financial year, as figures released today confirm it was short by nearly $1 billion in the year to June 30 and English warned of the potential impact of slumping receipts from agricultural exports. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand

Mosh Social Media
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news