Seven year high in GDP

Stats NZ has just released their GDP figures for June 2014. They include GDP growth of 3.5% (highest since 2007) and manufacturing GDP growth of 3.1% for the year

Stats NZ comments:

Strong growth in service industries saw gross domestic product (GDP) rise 0.7 percent in the June 2014 quarter, Statistics New Zealand said today.

“Services make up about two-thirds of the economy and all 11 services industries increased this quarter,” national accounts manager Gary Dunnet said. “The biggest increases were in industries that include advertising, employment services, and software development.”

Overall, services increased 1.4 percent, the highest growth since the December 2006 quarter. Business services (up 4.2 percent) was the main driver, although accommodation and food services increased 3.0 percent. These increases were partly offset by a 3.1 percent decrease in primary industries, where agriculture, forestry, and mining all fell.

GDP growth for the year ended June 2014 was 3.5 percent. This is the highest annual growth since the September 2007 quarter.

Do you think we’ll have a stable growing economy if we have a Government comprising Labour, Greens and Winston – and propped up by Internet Mana? Labour trying to govern with only 25% of the vote or so?