Best of Business

Equity markets are enjoying a significant spike in the new year. International markets are soaring at an all-time high not seen since 2021- while the New Zealand markets are slowly working their way up. Sam Dickie from Fisher Funds explains what this means for investors. LISTEN ABOVE   See omnystudio.com/listener for privacy information.

The cost of insurance is still stubbornly high, according to the latest data. Figures released by Stats NZ show that inflation is going down, but insurance prices have skyrocketed between 12 and 20 percent in the past year. Insurance Council chief executive Tim Grafton says construction inflation and 2023's significant natural disasters are to blame for these increased costs. LISTEN ABOVE See omny...

A growing number of employers are trying to lure in new staff with work-from-home arrangements. Seek's latest data reveals around 10 percent of job ads indicate the role can be done remotely.  This compares to pre-COVID times, when the percentage was at 1.3. Economist Matt Cowgill says this shows that the labour market has changed drastically since 2019. "We had that experience through Covid where...

Baby boomers are back in the business of selling their businesses.   Professional services network PwC says it’s seen an uptick in enquiries from owners looking to exit successful firms.   ABC Business Sales Managing Director Chris Small told Tim Dower that they list approximately 800 businesses for sale each year, about half of which belong to baby boomers.   He said that uptick began at the back...

Annual inflation has slowed down in recent months, in line with predictions from economists. The Consumer Price Index rose 4.7 percent in the year to December, down from 5.6 percent annually to September. It's a big fall from the 7.3 percent peak for the year to June 2022. Infometrics principal economist Brad Olsen says it's a positive step forward, but increased rental inflation means it's not sa...

Questions are being raised over what incoming restrictions from the Reserve Bank mean for first home buyers. The banking regulator proposed debt-to-income restrictions for owner-occupiers, to be introduced mid-2024. NZ Herald Wellington business editor Jenee Tibshraeny says this is unlikely to set off alarms for prospective buyers, as interest rates are a bigger issue. LISTEN ABOVE See omnystudio....

New Zealand has had its smallest annual inflation increase in two years. CPI rose 4.7 percent in the year to December- in line with the expectations from economists. That's down from the 5.6 percent recorded for the year to September, and down from the 7.3 percent rise recorded in the year to June 2022. Kiwibank economist Jarrod Kerr says this means the Reserve Bank will start cutting interest rat...

Australian-owned company Santana Minerals has informed investors swathes of gold may be hidden under farmland in Central Otago. The 'Rise and Shine' site had been marked in a recent report as  “the most significant single gold discovery in New Zealand in four decades”. The site has an estimated value of $325 million a year and could yield between 100,000 to 150,000 ounces of gold per year. Busines...

Zespri chief executive Dan Mathieson is stepping down from New Zealand's biggest kiwifruit exporter to pursue overseas opportunities. Mathieson has led Zespri for over seven years, and will stay on until the end of the 2024 harvest, before joining up with American-based berry company Driscoll’s. The Country's Jamie Mackay explains further. LISTEN ABOVE See omnystudio.com/listener for privacy infor...

A potential silver lining for first home buyers in possible changes to lending rules. The Reserve Bank is proposing introducing debt to income ratios from the middle of the year. Owner occupiers could borrow six times their income, while for investors it would be seven times. Independent economist Tony Alexander says the central bank plans to ease up on loan-to-value ratios at the same time. He sa...

Whether Jacinda Ardern will continue as New Zealand's special envoy for the Christchurch Call - is still up in the air. The multilateral body brings together tech companies and countries to fight online extremism. Ardern's already met up with Prime Minister Chris Luxon in Auckland, and he says they'll discuss the matter in coming months. Tech commentator Paul Spain says it's likely tech companies...

New Zealand exports could profit from the ongoing conflict in the Red Sea. Freight continues to be redirected around Africa's Cape of Good Hope while violence continues to escalate. The new route means the products this country sends to the Asian market won't take as long as those from Europe or Eastern USA. Rabobank researcher Stefan Vogel says exporters may want to keep an eye on container avail...

Welcome news for businesses, as new data shows that consumer confidence is on the rise.   The latest Westpac McDermott Miller Index shows consumer confidence is at its highest level in nearly two years.   Hospitality NZ CEO Steve Armitage told Tim Dower that it's a good sign ahead of the holidays, and the sector is feeling encouraged by a change in government.   He says business owners are welcomi...

Tonight on The Huddle, Jordan Williams from the Taxpayers' Union and Infrastructure NZ Chief Executive Nick Leggett joined in on discussion about the following issues of the day- and more! Finance Minister Nicola Willis remains firm in her decision to scrap cost increases to the Cook Strait mega-ferries project. Does this serve as a warning to the public service around budgets for big projects? Wh...

More local councils are turning to asset sales in order to balance their books. The Bay of Plenty Regional Council aims to sell off several majority shares in the Port of Tauranga, and Auckland, Christchurch and Wellington are also investigating potential asset sales. Fisher Funds expert Sam Dickie explains what these sales might mean for investors. LISTEN ABOVE See omnystudio.com/listener for pri...

Today's Q3 GDP report caught several economists by surprise. GDP fell 0.3 per cent in the September quarter, lower than the predicted 0.2 or 0.3 percent growth forecasts had predicted. Across the whole year, GDP fell 0.6 percent overall, sparking more grim predictions. NZ Herald business editor at large Liam Dann says Luxon's inherited a long-running recession to address. LISTEN ABOVE   See omnyst...

New Zealand's former Finance Minister has stepped up to justify today's disappointing GDP results. GDP fell 0.3 percent in the three months to September- with political voices blaming the previous Government's decisions for the decline. Grant Robertson says it doesn't tarnish Labour's economic credibility, as other economies are in the same boat. ZB political editor Jason Walls says there's a silv...

Weak economic growth is expected to continue a while. GDP fell 0.3 percent in the three months to September - a much worse result than forecast by most economists. BNZ Economist Stephen Toplis says it will take time to get a sunnier situation. "Market conditions ease, and that gives the economy a bit of a boost. But I think, realistically speaking, we're talking until the middle of next year." LIS...

It's fair to say that the GDP figures out this morning came as a shock- it's a lot weaker than economists were expecting. Economists were tending to forecast a bit of growth, around 0.2 percent to 3 percent, and instead what they saw was the economy slumped 0.3 percent for the third quarter, which is July through to September. And if you calculate it per capita to account for all the extra people...

Surprise at today's negative GDP figure. It fell 0.3% in the three months to September, a switch from a revised 0.5% increase for the three months to June. Stats NZ originally reported that quarter as a 0.9% growth. Herald Business Editor at Large Liam Dann told Kerre Woodham that it's much gloomier than most expected. He says most economists were predicting at least some growth. LISTEN ABOVE See...

Technology continues to evolve and spill over into the world of work, allowing more robots to fit into modern workplaces. More companies have turned to robot workers to fill jobs that are difficult to recruit for, primarily the manufacturing sector. Milford Asset Management's Deborah Lambie explains what this means for the years ahead. LISTEN ABOVE See omnystudio.com/listener for privacy informati...

New Zealand’s current account deficit remains stubbornly high, according to the latest data. A new report shows the country spent $30.6 billion more on imports than it earned from exports in the year to September, the equivalent to 7.6 percent of GDP. NZ Herald Wellington business editor Jenee Tibshraeny explains what this data means for Kiwi spending habits. LISTEN ABOVE See omnystudio.com/listen...

The deal's off - with two new mega-ferries for the Cook Strait no longer going ahead. KiwiRail has confirmed it will terminate a contract signed in 2021 to build the new ships in South Korea. The Government has turned down KiwiRail's funding request to cover the escalating cost for the new ships and port infrastructure. Chief Executive Peter Reidy says this is 'disappointing news for him and the K...

The Grocery Commissioner is shining a spotlight on grocery prices this festive season. Pierre van Heerden is challenging supermarkets to implement Everyday Low Pricing on staple items before Christmas. Demand typically rises at this time of year - and van Heerden says prices often do, too. He says groceries have been this year's biggest driver of cost of living pressures. "Supermarkets can actuall...

2023 is drawing to a close, and economists are predicting what lies ahead for the new year. New Zealand is still fighting a long, drawn-out battle with inflation, which is set to impact jobs and house prices. HSBC chief economist Paul Bloxham says the uptick in migration is set to boost demand for goods and services- meaning inflation will be stickier for longer. LISTEN ABOVE See omnystudio.com/li...