Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 

Current account deficit rises to 8.9% of GDP

Image description. Media Release. End of image description.

Embargoed until 10:45am – 26 March 2009

Current account deficit rises to 8.9 percent of GDP

The current account deficit for the year ended December 2008 was $16.1 billion (8.9 percent of GDP), Statistics New Zealand said today. This compares with a deficit of $15.5 billion (8.6 percent of GDP) for the year ended September 2008, and a deficit of $14.4 billion (8.2 percent of GDP) for the year ended December 2007.

The main reasons for the increase in the deficit between the year ended September 2008 and the year ended December 2008 were a rise in the value of imports of transportation services and a fall in the value of exports of travel services. The increased imports of transportation services was mainly due to higher freight costs, while the decrease in exports of travel services was caused by fewer visitors coming to New Zealand.

Exports of goods increased, with higher values of dairy products behind the rise. This was offset by an increase in goods imports, which was due to an increase in the prices of imports of petroleum and petroleum products.

The seasonally adjusted current account deficit for the December 2008 quarter was $3,772 million, $236 million smaller than the deficit in the September 2008 quarter. The smaller deficit in the latest quarter was due to an increase in the value of exports of goods, which was partly offset by increased value of imports of services. Exports of goods increased due to higher exports of dairy and forestry products.

The December 2008 quarter investment income deficit of $3,199 million is $58 million smaller than the September 2008 quarter deficit. This is the second consecutive fall in the quarterly investment income deficit. In the December 2008 quarter, foreign investors' earnings in New Zealand were $160 million lower than in September 2008, and New Zealand investors' earnings from abroad were down $102 million.

New Zealand's current account deficit has the effect of increasing its net overseas liabilities, as external funding is required to finance the deficit. At 31 December 2008, New Zealand's overseas liabilities exceeded its overseas assets by $167.7 billion (92.9 percent of GDP). This compares with net overseas liabilities of $152.6 billion (87.1 percent of GDP) at 31 December 2007.

Geoff Bascand Government Statistician 26 March 2009

See also the Hot Off The Press information release Balance of Payments and International Investment Position: December 2008 quarter

Balance Of Payments Major Components – XLS

ENDS

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell : On Dealing With Impeccable, Impeachable Lies

By now, the end game the Republican Senate majority has in mind in their setting of the rules for the impeachment trial of Donald J. Trump is pretty clear to everyone: first deny the Democrats the ability to call witnesses and offer evidence, and then derisively dismiss the charges for lack of evidence. For his part, does former security adviser John Bolton really, really want to testify against his former boss? If there was any competing faction within the Republican Party, there might be some point for Bolton in doing so – but there isn’t. More>>

Published on Werewolf

 
 

WINZ Quarterly Report: More People Getting Into Work

The December quarter benefit numbers released today show the Government’s plan to get people off the benefit and into work is starting to pay off,” Social Development Minister Carmel Sepuloni said. More>>

ALSO:

Changing lives: Boost In Whānau Ora Funding

Whānau throughout New Zealand are set to benefit from an extra three million dollars that will go directly to Whānau Ora Commissioning Agencies, the Minister for Whānau Ora Peeni Henare announced today. More>>

ALSO:


PGF Kaikōura $10.88M: Boost In Tourism & Business

The Provincial Growth Fund (PGF) is investing $10.88 million to boost business and tourism opportunities in Kaikōura, Parliamentary Undersecretary for Regional Economic Development, Fletcher Tabuteau announced today. More>>

ALSO:

Whitebaiting: Govt Plans To Protect Announced

With several native whitebait species in decline the Minister of Conservation Eugenie Sage has today released proposals to standardise and improve management of whitebait across New Zealand. More>>

ALSO:


Education: Resource For Schools On Climate Change

New resource for schools to increase awareness and understanding of climate change... More>>

ALSO:

In Effect April: New Regulations For Local Medicinal Cannabis

Minister of Health Dr David Clark says new regulations will allow local cultivation and manufacture of medicinal cannabis products that will potentially help ease the pain of thousands of people. More>>

ALSO:


Gordon Campbell: On What An Inquiry Might Look Like

Presumably, if there is to be a ministerial inquiry (at the very least) into the Whakaari/White Island disaster, it will need to be a joint ministerial inquiry. That’s because the relevant areas of responsibility seem to be so deeply interwoven... More>>

ALSO:


 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 


 

InfoPages News Channels