Auckland showed a less than stellar performance in terms of economic growth in the December quarter. According to the latest information released from the National Bank regional trends survey, Auckland did not meet national results in last quarter.
While the national economy grew in the December quarter by 0.7 per cent, this number was not reached by Auckland. Here, only a small 0.2 per cent growth was evident. The national as a whole had an economic growth of 0.3 per cent drop in the September quarter. Nearly all regions saw some growth. The highest growth was seen in Taranaki at 3.3 per cent growth.
Two areas seeing low growth were The Bay of Plenty which recorded only a 0.1 per cent growth and Gisborne saw only a 0.6 per cent growth.
Economists say that the Auckland area was hit harder than other areas in the drop in September. This caused the rebound, though still evident, to be smaller than it was in other areas.
House sales are partially to blame. There, a drop of 4.2 per cent was seen in Auckland. Employment also fell by 0.9 per cent.
On the other hand, residential approvals did rise in Auckland by ten per cent. This increase was seen across the board in the country.
The country is seeing a change in the property market, as many are seeing the change towards a buyer's market. Some believe this will further spur the economy in the right directions.
