Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 


Economy grows by 3.1 per cent, on right track

Economy grows by 3.1 per cent, on right track

The economy continued to grow by more than 3 per cent in the year to 31 December, confirming that New Zealand remains on the right track under the Government’s economic programme, Finance Minister Bill English says.

Statistics New Zealand today reported gross domestic product expanded by 0.9 per cent in the December quarter and 2.1 per cent in the second half of 2013.

This took annual growth – from the December quarter 2012 to the December quarter 2013 - to 3.1 per cent. Average annual growth was 2.7 per cent.

“Providing we stick with the Government’s successful programme, New Zealanders can lock in the economic gains we’re starting to see through more jobs and higher incomes,” Mr English says.

“Business and consumer confidence remains high, manufacturing activity has been expanding for almost a year and a half and the current account deficit is less than half of what it was five or six years ago.

“However, we still have plenty of work ahead of us to ensure these positive indicators are translated into real opportunities and progress for New Zealanders and their families.”

The solid growth was widespread across the economy in the December quarter.

Manufacturing made the largest contribution to quarterly GDP growth, increasing by 2.1 per cent, taking overall manufacturing activity to its highest level since March 2006.

Wholesale trade, including machinery and equipment, increased 3.2 per cent in the quarter. Investment in plant, machinery and equipment was up by 7.5 per cent to its highest level since the series began.

“This confirms businesses are investing for the long-term to support productivity and higher wages,” Mr English says.

New Zealand’s 0.9 per cent quarterly GDP growth was strong by the standards of other developed countries. It compares with 0.6 per cent in the United States, 0.7 per cent in the United Kingdom and Canada, 0.8 per cent in Australia and 0.2 per cent in Japan.

“We are making good progress but we need to remain focused on making the enduring structural changes needed for New Zealand to reach its economic potential,” Mr English says.

“Now is certainly not the time to put all of this at risk with untried experiments such as going soft on inflation through changes to the Reserve Bank Act or reverting to big-spending and ineffective policies that have failed in the past.”
Ends

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Labour's 'Future Of Work': Major Reform Of Careers And Apprenticeships

The next Labour Government will transform careers advice in high schools to ensure every student has a personalised career plan, Leader of the Opposition Andrew Little says. More>>

ALSO:

State Investments Management: Treasury Likes IRD, Not Education Or Corrections

The Inland Revenue Department has scored an 'A' in the first tranche of the Treasury's investor confidence rating for state agencies that manage significant Crown investments and assets, gaining greater autonomy as a result, while the Corrections and Education ministries gained a 'C' rating. More>>

ALSO:

Govt Goal: NZ To Be "Predator Free" By 2050

Prime Minister John Key has today announced the Government has adopted the goal of New Zealand becoming Predator Free by 2050... “That’s why we have adopted this goal. Our ambition is that by 2050 every single part of New Zealand will be completely free of rats, stoats and possums." More>>

ALSO:

Gordon Campbell: On The IOC’s Treatment Of Russian Sport, And Lone Wolf Terrorism

A blanket ban on Russian athletes would also have exposed the IOC to criticism that its treatment of Russia would have been marked contrast to its treatment say, of the track and field team from Kenya – a country about which the IOC has very similar doping concerns. More>>

ALSO:

Sounds Like A Plan: Auckland Council Receives Unitary Plan Recommendations

A key milestone in New Zealand planning history was reached today when the Independent Hearings Panel delivered the reports containing its recommendations on the Proposed Auckland Unitary Plan. More>>

ALSO:

National Park Expansion: Forests And Coast Of Kahurangi Protected

Five parcels of high value land totalling more than 890 hectares have been formally gazetted as part of the National Park. More>>

ALSO:

PPP Go-Ahead: SkyPath Gets Unanimous Support

Auckland’s SkyPath project has been given the go-ahead to be delivered through a public private partnership, after a unanimous decision at today’s Finance and Performance Committee. More>>

ALSO:

Gordon Campbell: On The Reserve Bank, The UN Shortlist, And Trump

Can there really be there any link between the US presidential elections and yesterday’s RBNZ signals on interest rates and the NZ dollar? Well, maybe. And it would be this: the improving US economy is reportedly putting a tailwind behind the US dollar, and rendering the actions of our Reserve Bank virtually irrelevant. More>>

ALSO:

Gordon Campbell: On What John Key Should Be Asking Joe Biden

No doubt, US Vice-President Joe Biden will be updating Prime Minister John Key on the chances of a TPP vote taking place in the ‘ lame duck’ session of Congress that’s held between the November’s election and the inauguration of a new President in January. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news