Earlier today, data revealed that New Zealand’s economy experienced growth in the first quarter of 2024. This positive news marked the country’s exit from a recession as the economy expanded.
The growth in the first quarter exceeded expectations, with New Zealand’s GDP increasing by 0.2% quarter-on-quarter, compared to the expected 0.1% growth. The Reserve Bank of New Zealand (RBNZ) had forecasted a 0.2% growth for this period, and will likely be pleased to see the economy performing as anticipated.
The RBNZ has maintained the cash rate at 5.5% for seven consecutive meetings, indicating confidence in the country’s economic stability.
In the currency markets, the New Zealand Dollar (NZD) against the US Dollar (USD) showed a slight gap fill following the positive economic news.
Overall, the latest data reflects a promising start to the year for New Zealand’s economy, with growth in line with expectations and indications of continued stability.