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

 


Current account deficit falls again

Current account deficit falls again

18 June 2014

New Zealand's seasonally adjusted current account balance was a deficit of $0.6 billion in the March 2014 quarter, Statistics New Zealand said today. This is $0.3 billion smaller than the December 2013 quarter deficit.

An increase in the value of goods exports, combined with higher spending by overseas visitors to New Zealand contributed to the fall in the current account deficit this quarter.

"The smaller deficit follows last quarter's $1.6 billion fall, making this the smallest current account deficit since 2010," international statistics manager Jason Attewell said.

Unadjusted current account balance in surplus

Before removing seasonal effects, the current account balance was a surplus of $1.4 billion – the largest actual current account surplus ever recorded. This represents a $1.3 billion increase from the March 2013 quarter surplus, mainly driven by increased dairy product exports.

"New Zealand is most likely to record a current account surplus in March quarters, when we have more overseas visitors coming to New Zealand," Mr Attewell said.

A current account surplus means New Zealand's earnings from the rest of the world exceeded our overseas expenditure. As a result, we had $1.3 billion of net outward investment from New Zealand this quarter, mostly due to the Reserve Bank of New Zealand increasing its foreign exchange assets.

New Zealand's annual current account was a deficit of $6.3 billion (2.8 percent of GDP) for the year ended March 2014. This compares with a deficit of $7.6 billion (3.4 percent of GDP) for the year ended December 2013, and is also $2.0 billion smaller than the deficit for the year ended March 2013, when it was 3.9 percent of GDP.

New Zealand's net international liability position, which measures the value of our overseas assets less our overseas liabilities, was $148.0 billion (65.3 percent of GDP) at 31 March 2014. The net liability position increased $1.1 billion from 31 December 2013 (when it was 66.4 percent of GDP) due to valuation changes increasing the value of our overseas liabilities.

For more information about these statistics:
• Visit Balance of Payments and International Investment Position: March 2014 quarter

ends

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: Alex Swney Pleads Guilty To $2.5M Fraud Charge

Alex Swney, former chief executive of the Auckland city centre business association Heart of the City, has pleaded guilty to dishonestly using documents to obtain $2.5 million. More>>

ALSO:

Petrol Burns Prices: Second Consecutive Quarterly Fall For CPI

The consumers price index (CPI) fell 0.3 percent in the March 2015 quarter, following a 0.2 percent fall in the December 2014 quarter, Statistics New Zealand said today. The last time the CPI showed two consecutive quarterly falls was in the December 1998 and March 1999 quarters. More>>

ALSO:

Scoop Business: NZ Broadcasters Launch Battle Against Global Mode ISPs

New Zealand broadcasters have confirmed they’ve launched legal proceedings against internet service providers who give customers’ access to “global mode”, which allows customers access to offshore online content, claiming it breaches the local content providers’ copyright. More>>

ALSO:

Sanford: Closure Of Christchurch Mussel Processing Plant Confirmed

The decision comes after a period of consultation with the 232 staff employed at the Riccarton site, who were told on 9 April that Sanford was considering the future of mussel processing in Christchurch. Recent weather patterns had impacted on natural spat (offspring) supply... More>>

ALSO:

Price Of Cheese: Dairy Product Prices Fall To The Lowest This Year

Dairy product prices fell in the latest GlobalDairyTrade auction, hitting the lowest level in the 2015 auctions so far, as prices for milk powder and butter slid amid concern about the outlook for commodities. More>>

ALSO:

Houston, We Have An Air Route: Air New Zealand To Fly Direct To The Heart Of Texas

Air New Zealand will fly its completely refitted Boeing 777-200 aircraft between Auckland and Houston up to five times a week opening up the state of Texas as well as popular nearby tourist states such as Louisiana and Florida. More>>

ALSO:

Scoop Business: Reserve Bank’s Spencer Calls On Govt To Rethink Housing Tax

The Reserve Bank has urged the government to take another look at a capital gains tax on investment in housing, allow increased high-density development and cut red tape for planning consents to address an over-heated Auckland property market. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news