KEY POINTS:
A major drop in the number of Asian tourists has driven visitor numbers down by 4 per cent last month, compared with the same time last year.
Statistics New Zealand figures show 11,300 fewer Asians visited last month, dropping numbers to 219,300.
The biggest decline came from Japan with visitor numbers down 46 per cent or 6900, compared with November last year. Korean visitors were down 43 per cent or 3800 people, and Chinese visitors fell 18 per cent or 2400.
Government statistician Geoff Bascand attributed the major decline from Japan to the cancellation of student charter flights to New Zealand.
UK visitor numbers also fell by 7 per cent, down 1900. But the number of people coming from Australia, Singapore and Canada increased.
Visitors from Australia, New Zealand's largest tourism market, were up 2 per cent or 1400 people and Singapore was up 27 per cent or 1000 people.
But overall in the year to last month, visitor numbers were down 1 per cent to 2.454 million.
UBS senior economist Robin Clements said on a seasonally adjusted basis visitor arrivals were still holding up.
"While the increase in tourist arrivals was modest, at least numbers are holding up, thus far.
"Monthly arrivals are running some 3 to 4 per cent below the average of the last few years, whereas arrivals fell closer to 10 per cent in the wake of the Asian crisis.
"There may still be bad news to come but the lower exchange rate will boost the spending power of current tourist arrivals and, given the shortened booking horizons now prevailing, should assist to buffer the impact of the global recession over the period ahead."
But what was more worrying, according to Clements, was the migration numbers.
On a seasonally adjusted basis, permanent and long-term departures exceeded arrivals by 600 for November.
"The November result was weak and offers no support for the ailing housing sector," he said.
The departure of New Zealanders to Australia continued to grow with the year to November 2008 exceeding the previous peak record in January 1989.
Clements predicted that could slow down as Australia hit tougher times.
He said the more difficult job markets internationally were also likely to see fewer departures generally and should result in more New Zealanders returning home.
Asian visitors - November 2008 compared with November 2007:
* Japan: Down 46 per cent.
* Korea: Down 43 per cent.
* China: Down 18 per cent.
