Struggling rural towns in Wanganui and Rangitikei will not be abandoned, regional leaders say.
A recent New Zealand Institute of Economic Research report written by principal economist Shamubeel Eaqub warned that different parts of the country had different economies and the gap between the prosperous and the struggling was widening.
Speaking on TV3's The Nation, he said some parts of regional New Zealand were falling behind the rest of the country in many economic factors and suggested some might be near their end.
"It's horrible to say but, yes, we have zombie towns and some of them do have to close, and you know it's going to be devastating for those communities, but it will be better for New Zealand if we target our resources in places that have some hope of growing and creating prosperity," Mr Eaqub told The Nation.
He would not name which towns he thought were on death's door, but hinted at parts of Wanganui and Rangitikei. "I think about some of those small towns in the central North Island where populations are declining and they've got this massive infrastructure deficit that they're going to have to replace and you're like, 'Would you really invest hundreds of millions of dollars for a declining population?' The answer might be no."