25 Mar 2010

Foreign owners boost investment in their NZ firms

8:50 am on 25 March 2010

Overseas owners of New Zealand companies are putting large amounts of cash back into their businesses in this country.

Official figures show re-investment by foreign owners hit a 15-year high at the end of last year, when profits rebounded sharply as the economy came out of recession.

Analysts are divided over whether the increase in re-investment has resulted from the jump in profits.

Mark Lister, from Craigs Investment Partners, says firms could be using the cash to pay back debt in a sign of caution.

But investment banker Rob Cameron says there are signs that foreigners are gearing up to boost investment in jobs.