Photo / 123rfNew Zealanders shouldn’t expect any meaningful rebound from recession this year, according to a gloomy prognosis by international research agency BMI. “After falling into technical recession in [the first quarter], real GDP growth is unlikely to have rebounded in [the second quarter],” said economists at BMI, a unit of Fitch Group. BMI has retained its view that real GDP growth will decelerate sharply in 2023, coming in at just 1 per cent. The report noted the impact of higher interest rates and recessionary conditions in the private sector. “Both the services and the manufacturing PMIs eased in June, combining to pull the headline index down, with the manufacturing PMI falling further below 50 (47.4) and the services PMI hovering just above 50 (50.1).”The manufacturing PMI fell further in July, to 46.3.

Source: New Zealand Herald August 14, 2023 21:55 UTC