''More people and jobs for Northlanders has helped keep money going through the tills, with Marketview data showing a 1.9 per cent pa rise in consumer spending over the last 12 months – the second best spending performance across all regions. Strong spending outcomes will continue to support local businesses.''
He said the growth in the economy and the population has also kept pressure on the construction sector, with a strong rise in residential consents in the latest quarter, led by a strong result in Whangārei.
''The 73 per cent pa growth in the latest quarter was the second-best growth in New Zealand, slightly below Gisborne's growth,'' Olsen said.
''Northland has also been showcasing its talents to other New Zealanders exploring their backyard, with Northland being one of only two regions to see an increase in spending over the last 12 months. Domestic travel has focused on drive-based locations, and the nearby Auckland market have been captivated by Northland over the last few months.''
Primary sector activity has also kept the economy in a strong place, with better commodity prices for forestry, horticulture, meats and dairy products all boosting underlying activity.
''The dairy payout (for Northland farmers) is estimated to rise to $624 million for the current season – a $46m increase on last season which will support local spending and investment.''
The summer of 2020/21 provided a boost to a number of regional economies even as traditional tourism hotspots remained hard hit by the loss of international tourism.
"Domestic travel, strong construction activity, and a more robust labour market have helped support regional economies in recent months, as businesses press ahead with work and look to hire more workers, which in turn is assisting Kiwi households to keep spending.
"However, supply chain disruptions and the lingering effects of Covid-19 are weighing on our economic recovery," Olsen said.