The full pdf document by Tony Alexander is available here.
Prices are high and they’re going to go higher. We look at the nationwide indicators, those for Auckland, Wellington and Canterbury, and include some results from our latest BNZ-REINZ Residential Market Survey released earlier this week. If you’re contemplating buying a house in New Zealand you’d better have saved up hard.
Conditions remain loose but tightening with some shortages appearing and many more to come as the Christchurch rebuild and other areas of construction lift sharply, consumer spending picks up, and employers encounter the results of five years of low training.
Lots of people go in and out of NZ each year, but is there any evidence of a lift in expats returning? Only from Australia and Germany. Not even the weakness in Ireland is causing increased flows from there.
NZ Exchange Rates & Interest Rates
The NZD is high and headed potentially a lot higher – after all, the monetary policy tightening cycle hasn’t even started yet and compared with woe in so much of the rest of the world so bad that central banks are trying to recreate the 2000s credit boom, NZ looks good. Pity the shrinking exports though.
Expat and Global Ranking Surveys
Each month we will run through whatever surveys come our way showing where NZ excels – and where we lag behind. This month for the latter we include surveys ranking us poorly for innovation, globalisation and housing affordability.
More Than Milk and Scenery
In this section each month we will run a column on the high value manufacturing sector and examine areas like creative digital content, food and agri. technology, and this month the wonderful EPIC development in Christchurch’s Rebuild Zone. It may be doing more to build an innovation neural network than anything else in New Zealand currently. Input is invited for the various sectors noted.
Kiwi Business Culture
Some of what we are does us no good in a world where we need to sharply lift our global interactions outside simply diverting boats of primary products to whoever bids the highest price – increasingly China. Each month we shall examine different aspects of the Kiwi business culture, eventually hopefully including research on the extent to which it may be changing. Input also is very welcome in this section.
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