30 Nov 2015

ANZ survey shows respectable growth in Q3, solid in 2016

10:30 am on 30 November 2015

ANZ Bank's latest survey of regional economies points to modest expansion in the third quarter, with the prospect of a slight lift going into next year.

A piggy bank depicting economic growth.

Photo: Photononstop

The strongest performing regions in the three months ended September were Northland and Otago, with the weakest being Wellington and the West Coast, both of which contracted in the quarter.

The average rate for the period was 0.4 percent, while the annual rate slowed to 2.8 percent.

On an annual basis, the strongest growth was seen in the top half of the North Island, but ANZ senior economist Mark Smith said it was not just Auckland leading the way.

"We're starting to see the impact of things like higher house prices in Auckland span throughout the wider regions and throughout the economy as well," he said.

Mr Smith said the survey suggested the economy should show some pick-up going into the new year.

Official third quarter gross domestic product data is due out in three weeks, with expectations for quarterly growth of around 0.5 percent or slightly higher.

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