12 Apr 2011

Rebuilding of Christchurch tipped to boost economy

7:54 am on 12 April 2011

The International Monetary Fund says the rebuilding of Christchurch will fire the New Zealand economy next year.

In its latest set of forecasts, the IMF is picking the earthquakes will slow the pace of activity to 0.9% this year.

But that's expected to jump to 4.1% next year, led by the reconstruction.

Inflation is forecast to rise to 4.1% in 2011, before easing to 2.7% next year, while unemployment will fall from 6.7% to 6.2%.