There remains a large degree of uncertainty over New Zealand’s growth outlook, as the decline in dairy prices from softer global demand adds to the dampening effects of higher interest rates on demand more broadly. These challenges are particularly evident in the retail sector, with retailers feeling downbeat in the face of softening demand. Over the longer term, we expect migration-led population growth to support demand. The recovery in net migration has been robust since international borders reopened last year. The more immediate impact of the net migration inflows has been on easing labour shortages. This should ... (full story)