OECD Economic Surveys: New Zealand 2017

Business & Finance, Economics
Cover of the book OECD Economic Surveys: New Zealand 2017 by Collectif, OECD
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Author: Collectif ISBN: 9789264277151
Publisher: OECD Publication: June 15, 2017
Imprint: OECD Language: English
Author: Collectif
ISBN: 9789264277151
Publisher: OECD
Publication: June 15, 2017
Imprint: OECD
Language: English

New Zealand is enjoying strong economic growth, driven by booming tourism, high net immigration, solid construction activity and supportive monetary policy. The fiscal position is sound, with low public debt and a balanced budget. The major economic vulnerability emanates from high levels of household debt associated with rapid increases in house prices, which have reached high levels relative to fundamentals. Barriers to expanding housing supply are being reduced, and macro-prudential measures have been taken to contain financial stability risks, but further measures may be needed. While the short-term economic outlook is strong, there are longer-term challenges from low productivity growth, a changing labour market and some growing environmental pressures. Addressing these challenges would secure sustainable improvements in well-being for all New Zealanders.

SPECIAL FEATURES: IMPROVING PRODUCTIVITY; THE CHANGING LABOUR MARKET

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New Zealand is enjoying strong economic growth, driven by booming tourism, high net immigration, solid construction activity and supportive monetary policy. The fiscal position is sound, with low public debt and a balanced budget. The major economic vulnerability emanates from high levels of household debt associated with rapid increases in house prices, which have reached high levels relative to fundamentals. Barriers to expanding housing supply are being reduced, and macro-prudential measures have been taken to contain financial stability risks, but further measures may be needed. While the short-term economic outlook is strong, there are longer-term challenges from low productivity growth, a changing labour market and some growing environmental pressures. Addressing these challenges would secure sustainable improvements in well-being for all New Zealanders.

SPECIAL FEATURES: IMPROVING PRODUCTIVITY; THE CHANGING LABOUR MARKET

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