
Economy shows surprising muscle
GDP growth twice as strong as forecasters picked despite earthquake
GDP growth twice as strong as forecasters picked despite earthquake
New Zealand's economy probably grew at the fastest pace in four quarters in the first three months of 2011, say economists.
The impact of Alasdair Thompson’s controversial comments last week is still being felt with Air New Zealand withdrawing its Employers and Manufacturers Association membership.
New Zealand manufacturing rose in May to its highest level in almost a year amid signs record-high prices for the country's commodities are beginning to filter through to the wider economy.
The Government has delivered a budget that will bring its books back into surplus by 2014/15 and the price will be paid by the public service, parents, and KiwiSavers.
Next week's budget will provide up to $42 million for trades training for Canterbury to meet labour demand.
More details of KiwiSaver cuts will be announced in the budget, but John Key says the $1000 kick start for new accounts will remain.
Business New Zealand is cautioning against reading too much into an improvement in an index of economic conditions it compiles.
Economists believe GDP stats due out this week will show the NZ economy has expanded less that the Reserve Bank forecasted, confirming that interest rates are on hold for now.