There is no real risk to insurance companies in this, as it is either passed on to reinsurers, or is covered by weather-linked "catastrophe bonds", writes Michael Naylor.

Wellington could run out of water next month if the council's worst-case scenario pans out - and much-needed downpours have only worsened the region's water woes.

Two professional weather forecasters got close to predicting the record hot, dry summer, but a "motivational astrologer" was adrift.

The jump in output in 2012 was primarily led by agriculture (up 29.8 per cent) due to good growing conditions.Statistics New Zealand

The weekend's rain has been welcomed as a start but hasn't come near the 100mm needed to put an end to the drought.

Finance Minister Bill English now believes the drought could cost the nation's economy up to $2 billion - double the figure estimated last week.

Farmers need to adapt for a drier future as events like the 'once-in-a-lifetime' drought become closer to the norm.

The drought conditions much of the country is facing could lead to much higher than usual levels of tutin in honey.

The forecast rain could add to the problems for drought affected farmers, even though the prospect of wet weather in many places from tomorrow is good news.

Rain is still on track to spread across the country this weekend, bringing much-needed relief to the parched North Island and parts of the South Island heading the same way.

Baked-hard sporting fields with barely a blade of grass are threatening to delay the start of winter sports next month.

It’s a sad state when cracks are the only things growing in the garden.

Rain is still on track to spread across the country this weekend, bringing relief to the parched North Island and parts of the South Island heading the same way.

Reserve Bank governor Graeme Wheeler delivered a warning to the financial markets yesterday - don't assume interest rates can only go up from here.

Dramatic satellite images of the country taken a year apart highlight the North Island's desperate need for rain as the drought continues.

Mighty River Power has rejected a request to top up the "extremely low" Waikato River and people are being warned that a rain forecast will not be a "silver bullet".

Most of the North Island could be declared a drought zone by the end of the week, but Prime Minister John Key says the impact on the Government's books remains to be seen.

Slaughterman Kent Sambells' workload was "hectic" last week as Waikato farmers called him in to destroy ailing cattle and take them away for processing into pet food.

A damp start to summer followed by a prolonged spell of dry weather has provided perfect conditions for biting insects.

The NZIER shadow board thinks on balance the Reserve Bank should keep the official cash rate on hold at 2.5 per cent tomorrow, but compared with six weeks ago there is less support for a cut and more for a hike.