Activity in the services sector has strengthened further, a BNZ-Business New Zealand Performance of Services report says.
The BNZ-Business New Zealand Performance of Services Index rose 1.5 points to 58 in May, compared with the previous month - its highest level in nearly a year.
A reading above 50 points indicates expansion.
Key indicators - sales and new orders - expanded strongly, remaining above 60, while employment is now at its highest level since the survey began in 2007.
Senior economist at BNZ, Doug Steel, said tourism and foreign students drove activity, along with housing-related services.
"I think housing and the construction sector is still very positive and that's coming through the various service components of that," he said.
