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

 

Higher retail consumption lifts GDP


Gross domestic product increased 0.7 percent in the September 2019 quarter, boosted by retail spending, Stats NZ said today.

This follows a revised rise of 0.1 percent in the June 2019 quarter.

“Retail industry growth of 2.4 percent in the quarter was boosted by robust spending on electronics such as appliances, mobile phones, and computers after a quieter period in the June quarter,” national accounts senior manager Gary Dunnet said.

Gadgets give retail sales a charge has more on recent electronics sales.

“Consumer spending on these goods was captured in household spending, which rose 0.8 percent. Spending on durables was up 2.6 percent, the strongest quarterly growth since the March 2017 quarter,” Mr Dunnet said.

Service industries, which make up about two-thirds of the economy, grew 0.4 percent this quarter, following 0.8 percent growth last quarter.

“Services growth was widespread, with positive results in 7 of the 11 service industries, including information media and telecommunications, up 2.7 percent, and business services, up 0.7 percent,” Mr Dunnet said.

Expenditure on GDP rose 0.6 percent in the quarter, buoyed by the higher household spending.

Revisions to quarterly and annual growth rates follow the incorporation of the latest annual national accounts data released last month.

“This update to quarterly gross domestic product occurs every September quarter,” Mr Dunnet said.

“This process allows us to incorporate more comprehensive and accurate data as it becomes available, ensuring that our quarterly GDP measures continue to reflect the changing nature of New Zealand’s economy.”

The benchmarking of quarterly data to updated annual information is best practice around the world.


For the year to June 2019, GDP growth was initially reported as 2.4 percent. This has been revised up to 2.8 percent. Over the year to September 2019, GDP grew 2.7 percent.

“The revised results show that average annual growth rates held up for slightly longer than previously published. However, recent trends remain unchanged, with average annual growth rates slowing over the past few quarters,” Mr Dunnet said.

“While the annual picture for growth is slightly improved from that published three months ago, the impact has not been evenly felt in individual quarters.”

Growth in both the September and December 2018 quarters was revised up, but this was tempered by lower growth in the March and June 2019 quarters than previously published.

Video

View a video summary of the Gross domestic product: September 2019 quarter on the Stats NZ YouTube channel after 11am today.

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

CTU 2021 Work Life Survey: COVID And Bullying Hit Workplaces Hard, Huge Support For Increased Sick Leave

New data from the CTU’s annual work life survey shows a snapshot of working people’s experiences and outlook heading out of 2020 and into the new year. Concerningly 42% of respondents cite workplace bullying as an issue in their workplace - a number ... More>>

Smelter: Tiwai Deal Gives Time For Managed Transition

Today’s deal between Meridian and Rio Tinto for the Tiwai smelter to remain open another four years provides time for a managed transition for Southland. “The deal provides welcome certainty to the Southland community by protecting jobs and incomes as the region plans for the future. The Government is committed to working on a managed transition with the local community,” Grant Robertson said. More>>

ALSO:

Economy: Strong Job Ad Performance In Quarter Four

SEEK Quarterly Employment Report data shows a positive q/q performance with a 19% national growth in jobs advertised during Q4 2020, which includes October, November and December. Comparing quarter 4, 2020, with the same quarter in 2019 shows that job ad volumes are 7% lower...More>>

NIWA: 2020 - NZ’s 7th-warmest Year On Record

The nationwide average temperature for 2020, calculated using stations in NIWA’s seven-station temperature series which began in 1909, was 13.24°C (0.63°C above the 1981–2010 annual average). New Zealand’s hottest year on record remains 2016, when... More>>

Quotable Value New Zealand: Property Market Set To Cool From Sizzling To Warm In 2021

Nostradamus himself could not have predicted the strange series of events that befell our world in 2020 – nor the wild trajectory of New Zealand’s property market, which has gone from “doom and gloom” to “boom and Zoom” in record time. Even ... More>>

PriceSpy: Research Reveals How Shopping Behaviours Have Changed This Christmas

According to a new survey* from PriceSpy , almost 50 per cent of Kiwis are looking to shop locally this Christmas in light of Covid-19; The research also found consumers are changing their shopping habits, with one in seven (14 per cent) getting super-organised ... More>>