18 Sep 2017

Service sector perks up in August

2:14 pm on 18 September 2017

Activity in the services sector has risen after a wintry soft patch.

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Photo: 123rf.com

The BNZ - Business New Zealand Performance of Services Index rose 1.3 points in August to 57.3.

A reading over 50 indicates expansion.

That gain follows a drop in July because of bad weather.

If the August data is broken down - activity, sales and new orders rose to sit in the 60 level, while employment fell.

BNZ senior economist Craig Ebert said there doesn't appear to be any pre-election jitters in the latest number.

"Melded with the Performance of Manufacturing Index, the latest PSI forms a picture of rude growth in the NZ economy, overall.

"Indeed, the composite index continues to point to annual GDP growth running in the order of 3 to 4 percent," he said.

Last month's PMI data rose after a weaker July result.

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