23 Jul 2013

Christchurch economy in healthy state - survey

5:37 pm on 23 July 2013

After four quarters of sustained growth, Christchurch's economy is 47% ahead of where it was 12 months ago, a new business survey shows.

The annual review of the Deloitte South Island Index was released at a function in Christchurch on Tuesday attended by Finance Minister Bill English and business leaders.

Bill English.

Bill English. Photo: NATIONAL PARTY

The index, which tracks the performance of 31 listed companies with operations in the South Island, shows they gained $2.16 billion in market capitalisation in the past year.

Of the 31 companies, 21 included in the index outperformed the NZX 50, the Dow Jones and the ASX.

Deloitte corporate finance partner Paul Munro says that investments in the Christchurch rebuild following damaging earthquakes and the resilience of the South Island's primary sector continue to underpin the performance of the wider southern economy.

Bill English says he has been impressed with the patience and resilience of Christchurch's business community.

However, he acknowledged the city is in a difficult patch, saying it is stuck between recovery and rebuild while a viable model for its central business area is finalised.