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

 

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