Best of Business

The name of the game for the government this year is economic growth and increased productivity.  For that, what New Zealand needs is successful businesses.  One of New Zealand’s most successful entrepreneurs believes more can be done to grow business confidence and the economy alike.  Rowan Simpson, one of the founding members and investors in TradeMe and Xero, is releasing ‘How to...

Given the issues around KiwiSaver, it’s a miracle any of us save anything to become remotely independent in retirement.  Last week we told you about the Morningstar rankings and how the biggest operator in the market was performing so poorly, and now we have yet another crack at where the money is actually invested.  Mindful Money is upset over the increase in funds going to fossil fuel...

Fonterra appears to be advancing its plans to sell off Anchor, Mainland and its other consumer brands.  The co-op hasn't decided whether or not to sell the brands to another business in a trade sale - or whether to list the in an IPO. NZ Shareholders Association CEO Oliver Mander weighs in on what Fonterra's next move could be. LISTEN ABOVE See omnystudio.com/listener for privacy information.

The Reserve Bank started 2025 off with some good news for homeowners and slashed the OCR by 50 basis points. The Central Bank also implied more rate cuts will come - and at a quicker pace than previously indicated.  Milford Asset Management's Remy Morgan revealed how the markets responded. LISTEN ABOVE  See omnystudio.com/listener for privacy information.

Banks have begun slashing shorter-term mortgage rates following today's cuts to the OCR, but experts have issued a warning to homeowners. Reserve Bank policymakers are again warning borrowers not to hold their breaths for substantive cuts to longer-term mortgage rates. NZ Herald Wellington business editor Jenee Tibshraeny explains the factors behind today's cuts. LISTEN ABOVE See omnystudio.com/li...

Fletcher announced a $134 million net loss after tax for the December 31, 2024 half-year, up on the previous $120m net loss. Losses climbed partly due to the disastrous Perth leaky pipe problems after Fletcher’s Iplex finalised and signed a $170m provision in this 2025 financial year in what it called the Western Australian plumbing industry response. Fletcher Building CEO Andrew Reding says many...

There's praise for the Reserve Bank tonight - from one of its fiercest critics. It's signalling this afternoon's double-cut to the Official Cash Rate will be followed by at least two more single cuts. Infometrics Principal Economist Brad Olsen infamously angered Governor Adrian Orr last year, when he accused him of 'flip-flopping' on forecasts and decisions. Today, Olsen says Orr's made the right...

The Prime Minister says this afternoon's double cut to the OCR is another sign the economy's improving. The Reserve Bank is also signalling it'll follow up with at least two more 25 point reductions by the end of May. Despite low productivity and net migration, our economy is expected to gradually pick up, in part due to rising dairy and beef prices - and the low Kiwi dollar. ZB senior political c...

Over 70,000 Kiwis left the country last year - and there's a changing trend in the types of people departing. The OE is a classic experience for many young New Zealanders, but new data shows there's a higher cohort of skilled professionals aged 25 to 45 leaving in droves. NZ Herald business editor at large Liam Dann says these people have been educated here - and have been pushed to find employmen...

There's finally some relief for Australian homeowners, as the RBA lowers interest rates for the first time since 2020. It held the cash rate at 4.3 percent for more than a year as post-pandemic inflation slowly cooled - but it slashed the OCR by 25 basis points to 4.1 percent. HSBC chief economist Paul Bloxham says inflation is coming down, but it's still nowhere near low enough.  LISTEN...

It's the Reserve Bank's first official cash rate decision for 2025 - and many economists are predicting a rate cut to start off the year. The RBNZ is largely expected to lower the OCR by 50 basis points tomorrow, with two major banks already announcing rate cuts. Infometrics principal economist Brad Olsen says a significant cut looks likely - but warns the central bank runs the risk of overdoing t...

Fonterra dairy farmers will be able to earn cash for their climate efforts - beginning from June. The dairy giant has announced it will pay an extra 1-5 cents a kilogram of milk solids to farms that meet climate criteria, and more for some farms. The criteria takes into account emissions from cow feed, fertiliser, animals and drained peat soils - minus any carbon removed by trees and vegetation. C...

Over in Australia, the RBA has moved to lower the Official Cash Rate by 25 basis points from 4.35 percent to 4.1 percent. This is in line with predictions from economists, who'd noticed inflation had eased in the final quarter of 2024. Australian correspondent Murray Olds says this will come as good news for homeowners, who have had their mortgage payments skyrocket over the past few months. LISTE...

A2 Milk has upped its first-half net profit by 7.6 percent - overtaking expectations - and announced its first dividend of 8.5 cents a share. Its infant milk formula (IMF) sales grew by 7.2 percent, led by its English label, which was up 13 percent, while China label sales were 2 percent higher. Harbour Asset Management's Shane Solly unpacked the factors behind this change. LISTEN ABOVE See omnyst...

One of our largest freight companies says it's yet to see economic green shoots. Freightways is reporting a 6.5 percent increase in profit in the six months to December. But it's dealing with lower volumes per customer in New Zealand. CEO Mark Troughear explained the result is down to winning new customers, and its Australian arm's performance. LISTEN ABOVE See omnystudio.com/listener for privacy...

The Economic Growth Minister says she's had another supermarket express their interest in setting up shop here. Nicola Willis has repeated the call we need more competition to pressure prices. Speaking last week, she said there's been some expressions of interest from overseas, but would not say who or how many, Willis says since then, she's had another potential player get in touch. She explained...

An economics expert says cutting the Official Cash Rate is unwarranted. The Reserve Bank is set to release its first 2025 OCR decision on Wednesday. Many economists are predicting a 50 basis point cut - from 4.25 percent to 3.75. Auckland University economics professor Robert MacCulloch says the bank's only meant to focus on inflation, which is already on target. "They're not looking at the inflat...

They're two Wellington business behemoths; one delivering food, the other offering sexual wellness products.  But now unlikely partners Delivereasy and Adult Toy Megastore have joined forces to deliver sex toys to Wellington customers in under an hour - a campaign to promote both businesses.  Delivereasy co-founder Tim Robinson and Adult Toy Megastore owner-operator Nicola Relph, both pr...

There's growing concern about a potential decline in engineering roles - with renewed calls for the Government to step in and intervene. Engineering New Zealand says work for engineers has dried up and they fear losing skilled professionals to overseas opportunities. CEO Richard Templer says Kiwi firms have had to make engineers redundant as bigger projects have ground to a halt - and New Zealand...

The expanded tariff measures announced by President Donald Trump are contributing to economic uncertainty held by multiple companies, according to experts. Major trade partners, including Canada, Mexico, Australia, Brazil and the EU will likely be impacted by the incoming 25 percent tax on steel and aluminium imports into the US. Sam Dickie from Fisher Funds explains how these changes could impact...

A series of livestock sales making way for blanket afforestation on a productive hill-country station on the Hokonui Hills in Southland isn't being received well by local farmers. The Government announced changes to limit the amount of full farm to forestry conversions in December last year, with changes set to kick in by October. The Country's Jamie Mackay unpacks the community backlash. LISTEN A...

The Government has confirmed it plans to create more competition between the supermarkets as part of its growth plan. Finance and Economic Growth Minister Nicola Willis says this means potential crackdowns on pricing and helping new entrants access land and properties for development. NZ Herald business editor at large Liam Dann explains what this scheme could include - and whether or not it could...

Managers of Auckland's City Rail Link are still shying away from naming a specific opening date, following last night's successful tests.  A train made five trips through the new tunnels overnight - between Waitematā and Maungawhau Station.  It started at a gruelling five kilometres an hour, but picked up the pace as technicians made their checks.  CRL Chief Executive Patrick Brocki...

There's hopes a fresh call for reform to break our supermarket duopoly brings meaningful action. Economic Growth and Finance Minister Nicola Willis has announced a new strategy for creating more competition. The Government is receptive to cracking down on pricing - and helping new entrants access land and properties. MonopolyWatch research director Tex Edwards says the devil will be in the details...

Rising premiums are pushing more people into considering third party car insurance. The average quote for comprehensive car insurance on comparison website Quashed has increased 41 percent in the past two years. Insurance Council CEO Kris Faafoi says newer cars have more technology attached to them - which contributes to the rising insurance costs. "It depends on the individual situation - the cos...