Earthquake payouts of $1.7b turn deficit into surplus
Statistics New Zealand says the sum is an early estimate of the amount New
Zealand insurers expect to claim from their overseas reinsurers.
A $1.7 billion inflow of reinsurance payouts for the Canterbury earthquake
has turned the current account balance from a deficit to a surplus.
Statistics New Zealand says the sum is an early estimate of the amount New
Zealand insurers expect to claim from their overseas reinsurers.
The seasonally adjusted current account balance was a surplus of $35 million
in the September quarter, compared with a $1.922 billion deficit in the June
quarter.
"Without the $1.7 billion reinsurance claims, the current account balance
would have been a deficit of $1.665 billion," SNZ balance of payments
manager John Morris says.
Excluding the reinsurance claims, the main driver was a $581 million smaller
investment income deficit. Profits earned by foreign-owned New Zealand
companies fell $551 million, while profits earned by New Zealand-owned
subsidiaries abroad increased $48 million.
Exports of goods and services fell in the latest quarter, mainly due to
lower volumes of meat exports. Expenditure by visitors to New Zealand fell
to the lowest level since the March 2002 quarter, driven by significantly
lower expenditure per person.
NBR Staff
Wed, 22 Dec 2010
Wed, 22 Dec 2010
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Earthquake payouts of $1.7b turn deficit into surplus
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