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New Zealand's current account deficit shrinks more than economists predicted
New Zealand’s seasonally adjusted current account deficit shrunk $1 billion dollars during the June quarter, declining to $6.7 billion from $7.7 billion in the three months prior, Statistics NZ says. A current account deficit reflects that New Zealand is spending more than it's earning overseas. The deficit ranged between 1% and 4% of gross domestic product (GDP) in the decade prior to the pandemic, but expanded to be over 8% in late 2022. The Treasury has said this was due to the disruption caused by the pandemic, poor agricultural production, and higher global interest rates. But now, the turnaround has begun and ... (full story)