Economy contracts 0.9% in June quarter

Economists had expected the economy to contract 0.3%. (Image: Getty)

Thu, 18 Sep 2025

New Zealand’s economy contracted by more than expected in the June quarter, keeping the central bank on track to cut rates at least twice more this year.The gross domestic product fell 0.9% in the June quarter, following a 0.9% increase in the March quarter, Stats NZ said.Economists had expected the economy to contract 0.3% in the June quarter. The GDP fell 1.1% over the year ended June 2025, compared with the year ended June 2024.“The 0.9% fall in economic activity in the June 2025 quarter was broad-based with falls in 10 out...

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