19 Sep 2011

World Cup and Canterbury rebuild bring optimism - surveys

10:20 pm on 19 September 2011

A quarterly survey has found consumers remain optimistic about the economy, partly because of the Rugby World Cup.

The Westpac McDermott Miller Consumer Confidence Index remained unchanged at 112 in the September quarter, indicating optimists outnumber pessimists.

Westpac senior economist Felix Delbruck says the Cup is seen as providing an economic boost, particularly in the country's main cities.

Meanwhile, the reconstruction of Canterbury is also expected to bolster activity, helping the economy escape the worst effects of global financial turmoil over the next two years.

The Institute of Economic Research's latest quarterly survey of forecasts found economists increased their near-term forecasts of growth, from 2.1% to 2.6% in the March 2012 year.

But they trimmed growth further out, forecasting the economy to expand 3.7% the following year, compared with 4% in the previous June survey.