New Zealand Economy Falls Into Recession, First Since 2020
First Published: 15th June, 2023 8:33 IST
This is New Zealand's first recession since 2020, when the pandemic shuttered borders and choked exports.
New Zealand’s agriculture-driven economy has fallen into recession, according to official data released Thursday, with a damaging cyclone fuelling a widespread downturn just months before national elections.
As per a report published NDTV, Stats NZ signalled the economy had contracted 0.1 percent in the first quarter, after a fall of 0.7 percent at the end of 2022.
Four months before the general election, centre-left finance minister Grant Robertson admitted that entering recession was “not a surprise”.
“We know 2023 is a challenging year as global growth slows, inflation has stayed higher for longer and the impacts of North Island weather events continue to disrupt households and businesses,” he said.
January flooding in Auckland and destruction caused by Cyclone Gabrielle in February both weighed on the economy.
The government estimates it will cost up to NZ$15 million (US$9 million) to mop up the damage caused by the extreme weather.
This is New Zealand’s first recession since 2020, when the pandemic shuttered borders and choked exports.
With the economy shrinking, inflation hitting 6.7 percent and an October 14 election approaching, the centre-right opposition was quick to point blame at the government.
“Red lights are flashing for the New Zealand economy, which has shrunk even while inflation rages on,” said opposition finance spokesperson Nicola Willis.
Agriculture, manufacturing, transport and services all saw declines.
COMMENTS

TOPMOST STORY NOW

Live Baba Ramdev Races With Horse to Promote Shilajit; Bryan Johnson Reacts, Gets Blocked
19th February 2025
Live Forum for Naga Reconciliation Urges Naga Political Groups to Unite for Peace
19th February 2025
Live Weather update in NE, India and neighbourhood today
19th February 2025
Live Umrangso Coal Mine Tragedy: 5th Body Recovered, Another Located After 40 Days; 3 Still Missing
19th February 2025WE RECOMMEND

“They have a lot more money”: Trump questions USD 21 million fund for voter turnout in India
The DOGE, led by Elon Musk announced cancelling a USD 22 million funding intended for "voter turnout in India" on Saturday.
19th February 2025
Watch: Dog Flies Business Class On Singapore Airlines Captures Hearts
The dog sat in her seat for the 5.5-hour flight from Singapore to Tokyo without taking a toilet break.
18th February 2025
Canada: Delta Airlines plane crashes at Toronto Pearson airport, 8 injured
The flight, which had come from Minneapolis, saw all passengers and crew members safely evacuated.
18th February 2025
KIIT University in Odisha Asks Nepali Students to Leave Campus After A Nepali Student was Found Dead in Hostel
Tension erupted at Kalinga Institute of Industrial Technology (KIIT) University in Bhubaneswar, Odisha after a Nepali student was found dead in her hostel room on Sunday. The deceased student has been identified as Prakriti Lamsal, a third-year B.Tech student at the university. The incident has sparked protests and raised concerns among the student community. Though […]
17th February 2025
US: At least 9 people dead in Kentucky, Georgia after powerful storm
He urged people of Kentucky to stay off the roads and said motor vehicle accidents were behind several of the death.
17th February 2025