NZ: Another lift in business confidence – ANZ

ANZ analysts note that New Zealand’s headline business confidence jumped another 13 points in December, while a net 17% of firms expect stronger activity ahead (up 4).

Key Quotes

“The lifts in the manufacturing sector was particularly strong. Services and manufacturing are the most upbeat sectors; construction remains the least optimistic but is improving rapidly.”

“All the main activity indicators rose except expected credit availability and residential construction intentions. Cost and pricing indicators are lifting.”

“The main drivers for firms planning to lift investment are the domestic economic outlook, the level of spare capacity, and skilled labour shortages. Firms planning to cut investment cite the domestic economic outlook, central government policy and the global economic outlook as the three biggest drivers of their decision.”