Otago may have topped the latest ASB Regional Scoreboard, but a ‘bumper’ kiwifruit season has seen the Bay crack the top ten.
‘The Bay of Plenty has seen favourable conditions for kiwifruit, with both quality and quantity showing promise,’ ASB’s report confirms. ‘We are hopeful for another excellent season, supporting the region’s exports. Additionally, improved dairy prices and potential interest rate cuts are expected to boost the economy.’
Covering the final quarter of 2024, the scoreboard provides detailed insights regarding which regions are delivering winning performances as well as the ‘also-rans’. The Bay of Plenty climbed three places to sit at ninth equal with Waikato.
‘A bumper kiwifruit season might have driven this improvement… Improvements in car registrations and consumer confidence were [also] key drivers for Bay of Plenty’s rise. Annual car registrations increased by 9 per cent, compared to the 6% national average, and consumer confidence lifted significantly, although it remained below the national average.’
However, challenges such as a slower pace of tourism recovery and uncertain prospects for economic growth remain, the report asserts.
‘Employment remained almost flat locally, down 0.4% annually, aligning with a weak labour market nationwide. The housing market showed mixed results: house sales rose by 9.1% annually, above the 7.4% national gain, while house prices dropped by 0.6% annually, close to the 0.4% drop nationally.’
In addition, the construction sector saw a ‘significant decline’, down 24.5% annually compared to 1.7% nationally, mostly driven by non-residential consents.
Visit www.asb.co.nz and search ‘regional economic scoreboard’ for further information.
