New Zealand may be heading into recession after Stats NZ revealed that national GDP had fallen into the red during the December quarter. It comes a few months after the governor of the Reserve Bank of New Zealand (RBNZ), Adrian Orr, admitted it was engineering a recession to combat inflation. “What we are looking at…

New Zealand’s quarterly inflation rose to 2.2 percent in the three months to September, while the annual inflation rate edged down to 7.2 percent, according to Stats NZ. This follows a 1.7 percent quarterly inflation and 7.3 percent annual inflation over the 12 months to June—a 32-year high. Inflation during the quarter was mainly driven…

The New Zealand (NZ) government has agreed to acquire 100 percent of Kiwi Group Holdings (KGH), the owner of Kiwibank, for $2.1 billion (US$1.3 billion). KGH has operated under three Crown-owned entities—NZ Post, the Accident Compensation Corporation (ACC), and the NZ Super Fund. Finance Minister Grant Robertson said that while the Crown essentially had full…

The Reserve Bank of New Zealand (RBNZ) has raised the cash rate by 50 basis points to three percent and warned of risks associated with continued high levels of government spending. After inflation hit a 32-year high of 7.3 percent, the central bank made its fourth consecutive 50 points hike of the year, bringing the…

New Zealand’s (NZ) annual inflation accelerated to 7.3 percent in June, reaching a new 32-year high and surpassing market expectations. According to Stats NZ, the increase was led by housing costs, with an 18 percent jump in construction prices and a 4.3 percent increase in rentals for housing. “Supply chain issues, labour costs, and higher…

Consumer confidence in New Zealand has fallen sharply in the June quarter as household budgets get increasingly squeezed from financial pressure, according to Westpac bank. The Westpac McDermott Miller consumer confidence index plunged to the lowest level since the survey began in 1988, down 13 points to 78.7. Readings above 100 indicate optimism (pdf). “The…