Plan for a moribund economy: Business NZ

John Pask

Free audio stream, including stories that are padlocked on our site. Listen on any device, anywhere. Updated twice daily. The audio stream takes several seconds to start on Android devices.

Launch Radio player

BUSINESSDESK: More evidence is emerging that the economy remains stuck in a subdued, low-growth pattern, with Business New Zealand's September planning forecast report showing the economy is "more or less stagnant".

While food and other soft commodities are not taking the hammering being experienced by minerals, the high kiwi dollar and the fall-off in growth in Asia, particularly China, means businesses should plan for more of the same uncertain conditions, the business lobby's economist, John Pask, says.

Based on numerous current economic indicators, the latest analysis shows no strong evidence of growth or decline.

"The global economic growth outlook is subdued, with reduced demand likely to impact on New Zealand, although drought in the US may increase grain and beef prices to the advantage of New Zealand meat producers," Mr Pask says in a commentary note.

"Although recent dairy trade auction results have been buoyant, future projections for dairy are muted."

While there were signs of life in the Auckland housing market and the Christchurch rebuild is starting to gain steam, these were no more than pockets of optimism which were not showing up in either employment or output improvements.

"For now, uncertainty is the new certainty," Mr Pask says.

This article is tagged with the following keywords. Find out more about MyNBR Tags

Post Comment

4 Comments & Questions

Commenter icon key: Subscriber Verified

What did this tell us that isn't self evident and well known?

  • 0
  • 0

deflation just around the corner!!!

  • 0
  • 0

10 years on, we have stagnation again.

  • 0
  • 0

"For now, uncertainty is the new certainty," Mr Pask says.

Cute sound bites aside, the average economist seems bereft of any ideas. They didn't see the Global financial crises coming and now have no idea how to get us out of it. Who actually pays these people is what I often wonder?

  • 0
  • 0

Post New comment or question

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.

NZ Market Snapshot


Sym Price Change
USD 0.7493 0.0056 0.75%
AUD 0.9852 0.0071 0.73%
EUR 0.6926 0.0019 0.28%
GBP 0.5040 0.0024 0.48%
HKD 5.8079 0.0423 0.73%
JPY 89.5340 0.5920 0.67%


Commodity Price Change Time
Gold Index 1208.0 24.740 2015-04-01T00:
Oil Brent 58.2 2.590 2015-04-01T00:
Oil Nymex 50.0 4.030 2015-04-01T00:
Silver Index 17.1 0.462 2015-04-01T00:


Symbol Open High Last %
NZX 50 5835.6 5835.6 5835.6 -0.07%
NASDAQ 4894.4 4899.4 4900.9 -0.42%
DAX 11991.6 12015.7 12001.4 -0.12%
DJI 17778.5 17778.5 17776.1 -0.44%
FTSE 6809.5 6831.4 6809.5 0.12%
HKSE 25214.3 25297.8 25082.8 0.77%
NI225 19141.9 19433.9 19034.8 1.46%