Best of Business

There's been plenty of speculation ahead of the upcoming 2024 Budget, to be released May 30. The Prime Minister and the Finance Minister have promised surprises and 'bold moves' on top of the proposed tax cuts and reduced spending. NZ Herald political editor Claire Trevett says the Government has proved every new spending measure will be counteracted with a cut somewhere else. LISTEN ABOVE See omn...

Copper prices have surged this year by 25 percent, according to new data. Copper has a broad level of demand, with plenty of industries relying on this commodity. Fisher Funds expert Sam Dickie explains how copper can be a barometer of the human economy. LISTEN ABOVE See omnystudio.com/listener for privacy information.

Kiwifruit producer Zespri’s profit has dropped 27 per cent but growers have been paid record prices for their output. Zespri reported a net profit after tax of $173.3 million for the 2023-24 financial year - down from $238.7m the year prior. The Country's Jamie Mackay explains what this means for the sector. LISTEN ABOVE  See omnystudio.com/listener for privacy information.

Advocates and experts are supporting the resource minister's plan to cut barriers to mining. Shane Jones has outlined a draft strategy for the industry. He wants a stock-take of available minerals and to double export value in 10 years. Minerals West Coast manager Patrick Phelps says you could get a feel for New Zealand's resources within a year or two. "There's quite substantial gold mines being...

Over in the UK, inflation has dropped to 2.3 percent, the lowest in 3 years. It heaps pressure on the Bank of England to cut high interest rates - and gives the Government a welcome boost. UK correspondent Gavin Grey says this drop is significant - but it's not as low as predicted. LISTEN ABOVE See omnystudio.com/listener for privacy information.

Experts say Gentrack is well placed to capture the opportunities created by changes to the utilities and airport sectors. A surging Gentrack gave the New Zealand sharemarket and the company reporting season a positive tone with strong revenue growth and an earnings upgrade. Milford Asset Management's Jeremy Hutton explains Gentrack's financial growth. LISTEN ABOVE See omnystudio.com/listener for p...

The Reserve Bank left the OCR unchanged today - but people may have to hold out for rate cuts. RBNZ Governor Adrian Orr revealed the bank considered hiking rates past 5.5 percent, and there's still scope for a potential hike this year. The committee also pushed out its projected timeframe for its first OCR cut from mid-2025 to around September 2025. NZ Herald Wellington business editor Jenee Tibsh...

The Government says scrapping the First Home Grant scheme is another example of tough decisions it has to make this Budget. It has also announced $140 million in new funding for 1500 new social housing places. Housing Minister Chris Bishop says everyone sympathises with first home buyers, but they have to focus on a more vulnerable group of people. "We are doing the right thing, but I'm not preten...

An economist says there's a risk the Reserve Bank won't cut the OCR until next year. It's kept the Official Cash Rate at 5.5 percent today, unchanged over a year with seven consecutive holds. Kiwibank's, Jarrod Kerr says there is worry it won't be cut until February. However, his bank's outlook remains the same. "Our forecast has inflation dropping below 3 percent by the end of the year, and I thi...

Fonterra CEO Miles Hurrell says his phone's been 'running hot' following last week’s announcement. Fonterra plans to divest its consumer businesses, including Anchor and Mainland - overseas operations Fonterra Oceania and Fonterra Sri Lanka. The Country's Jamie Mackay reveals which investors have been expressing interest. LISTEN ABOVE See omnystudio.com/listener for privacy information.

All eyes are on the Reserve Bank, ahead of tomorrow's OCR update.  The RBNZ is predicted to hold the cash rate steady at 5.5 percent - potentially marking a full year since the last rate change. Infometrics principal economist Brad Olsen predicts the new forecast hasn't moved since February. LISTEN ABOVE   See omnystudio.com/listener for privacy information.

SkyCity will pay more than $4 million for breaching obligations to prevent money laundering and terrorism. A Department of Internal Affairs review found multiple breaches over five years, including failures in risk assessment, compliance and account monitoring to counter money laundering and terrorism financing.  Forsyth Barr Head of Research Andy Bowley says the company never undertook money laun...

Chinese ambassador Wang Xiaolong has issued a warning to New Zealand over the prospect of joining AUKUS. In a speech delivered to the China Business Summit in Auckland, Xiaolong said China's relationship with New Zealand had reached a critical juncture - and joining AUKUS could impact that. NZME business commentator Fran O'Sullivan says this stance is in line with earlier comments made by ambassad...

The Finance Minster says credit agencies are still looking favourably on New Zealand, despite high debt levels. Treasury told the Government it was running a structural deficit the day it was sworn in; the Labour Government was never told. It comes as Nicola Willis gears up to deliver her first Budget next Thursday. Willis says it's important to show New Zealand won't be in perpetual deficit. "We...

There's hopes a new boss will bring fresh energy to the struggling Warehouse Group. Independent non-executive director John Journee has been appointed interim chief executive following Nick Grayston's abrupt resignation last week. The board is now looking for a new chief executive to replace Grayston, who was in the role since 2016. Board chair Joan Withers says elevating a member of the leadershi...

The Housing Minister has responded to the 'mismanagement' impacting Kāinga Ora - and enacted some changes. A high-level review of the agency has revealed it's under-performing and isn't financially viable without significant savings. The Government has today appointed a new Chair, former Spark CEO Simon Moutter, and a refreshed board will be in place by July. Minister Chris Bishop says the Governm...

How is the exodus of a record number of Kiwi citizens affecting businesses, and is 24/7 parking for Wellington CBD a good idea?  Those were the questions for the Business Panel this week, made up of Capital's Aimie Hines and Brezelmania bakery director Tony Parun.  The pair joined Nick Mills to talk all things business in Wellington.  LISTEN ABOVE See omnystudio.com/listener for privacy informatio...

Over one million trays of kiwifruit found on a Zespri shipment with a mouse infestation will be destroyed. After mice were found on the company's first shipment to Europe for the season, the company worked to salvage what they could. The Country's Jamie Mackay explains the extent of the damage.  LISTEN ABOVE See omnystudio.com/listener for privacy information.

ASB is the latest major New Zealand bank to drop their mortgage interest rates for three and four year terms. This follows BNZ and Kiwibank bringing down their interest rates, as wholesale rates have trended down. NZ Herald business editor at large Liam Dann explains why these banks are making these moves, despite the RBNZ holding rates steady. LISTEN ABOVE See omnystudio.com/listener for privacy...

One Nelson woman is the latest to express disappointment with Air New Zealand's conduct. On April 29, Kerstin Zdzieblik was bumped off her afternoon flight to Auckland - meaning she missed her international connection and was left $800 out of pocket as a result of this mistake. Her daughter, Anne Thomas, says the airline gave away her seat to relocate a crew member without checking she had an inte...

There's uncertainty around Fonterra's plan to sell well-known brand Anchor. The diary giant has signalled its intent to divest some or all of its global consumer business, including Fonterra Oceania and Fonterra Sri Lanka. Lincoln University Adjunct Professor Jacqueline Rowarth says Anchor is synonymous with New Zealand. "Anchor was sold at one point, and then they brought it back. So let's not do...

There's growing debate mortgage advisors need more regulation - alongside a Commerce Commission bid to make it easier to take out a home loan. Discussions at a banking conference centred on concerns brokers don't encourage mortgage rate competition. Simplicity CEO, Sam Stubbs, says they provide a valuable service, but commissions are a worry. "What CommComm are concerned about is - are they actual...

Well, it’s D-day for Te Huia. Today's the day that NZTA has met and has decided whether or not to keep funding the train past the end of June. Unless NZTA gives them more money, it’s all over by the first of July. And come on, it’s gotta be all over right? Because the case for this thing has never actually stacked up. We subsidise every single passenger on that train to the tune of at least $92 pe...

Poor trading conditions, intense price competition and lower building product sales have prompted Fletcher Building to downgrade its profit forecast. The forecast has been downgraded $640 million to $540 million - move that caused stock to sink 15 percent. Milford Asset Management's Mark Riggall explains what's causing Fletcher Building's economic woes. LISTEN ABOVE See omnystudio.com/listener for...

Ahead of the May Budget, experts have noticed the Reserve Bank's balance sheet has grown over the years. The value of assets held by the RBNZ has has quadrupled since 2019, peaking at $104 billion in February 2023. NZ Herald Wellington business editor Jenee Tibshraeny explains what's causing all this. LISTEN ABOVE See omnystudio.com/listener for privacy information.