18 Sep 2017

Data expected to show economy bouncing back

10:35 am on 18 September 2017

Economic growth is expected to have been solid but not spectacular in the past quarter.

The Reserve Bank of New Zealand

Photo: RNZ / Alexander Robertson

Official data is due on Thursday for the three months ended June, and after two decidedly underwhelming quarters at the end of last year and the start of this year, something of a bounce back is expected.

Market expectations are for the gross domestic product to have risen by about 0.7 percent for the quarter, with an annual rate of 2.5 percent.

That's just below the Reserve Bank's forecasts.

ANZ senior economist Phil Borkin said there should be a solid boost from some sectors.

"The primary and services sectors - retail especially - should make positive contributions. Net exports and private consumption drive expenditure-based growth," he said.

But Mr Borkin was hopeful about the growth outlook.

Current account numbers are also due on Wednesday and that's expected to reflect a solid terms of trade and services sector, with the annual deficit edging lower to just over $8 billion, or 3 percent of gross domestic product.

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