Services lead GDP growth
19 September 2019
Gross domestic product increased 0.5 percent in the June 2019 quarter, following a 0.6 percent rise in the March 2019 quarter, Stats NZ said today.
“Service industries, which represent about two-thirds of the economy, were the main contributor to GDP growth in the quarter, rising 0.7 percent off the back of a subdued result in the March 2019 quarter,” national accounts senior manager Gary Dunnet said.
The service industries recorded broad based growth, with eight of the 11 industries showing positive results in the June 2019 quarter. Household expenditure on services saw a corresponding increase, rising by 0.5 percent.
Goods producing industries fell 0.2 percent in the June quarter, driven by declines in manufacturing and construction.
“Both of these industries rose in the March 2019 quarter,” Mr Dunnet said.
“This quarter, lower investment in non-residential building and a decline in food, beverage, and tobacco manufacturing led to the falls.”
The size of New Zealand’s economy in annual current price terms hit a milestone in the June 2019 quarter, reaching $300 billion for the first time.
“It took about fourteen years for the economy to go from $100 billion to $200 billion, and nine years to reach $300 billion,” Mr Dunnet said.
Text alternative for Gross domestic product, industry growth and contribution to growth, June 2019 quarter
Image shows a column graph, pie chart, and bar chart showing growth, share of the economy, and contribution to growth in the June 2019 quarter for the primary, goods-producing, and services industries. Column chart shows the service industries grew 0.7 percent, primary grew 0.7 percent, and goods-producing declined 0.2 percent. Pie chart shows that service industries make up about two-thirds of GDP, goods-producing about one-fifth and primary about one-twentieth. Bar chart shows industry contribution to the GDP growth rate: primary 0.0 percentage points, goods-producing 0.0 percentage points, and services 0.5 percentage points.
View a video summary of the Gross domestic product: June 2019 quarter on the Stats NZ YouTube channel after 11am today.
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