Economic activity on the rise

Taranaki has just recorded its first quarterly rise in economic activity in more than a year.

The region is among 12 areas to post a rise for the September quarter, according to the latest National Bank regional trends report released yesterday.

Leading the way in the quarterly percentage change is Waikato with a 2.1 per cent jump – but its neighbour Taranaki is right behind on 1.6 per cent, followed by Manawatu-Wanganui and Canterbury on 1.4 percent.

The year-on-year scenario is not so bright however, with Taranaki running third-last with -2.9 per cent growth, ahead of only Waikato and Northland. But only Gisborne has recorded actual year-on-year growth, at 0.6 percent.

The report says Taranaki recorded a large increase in the number of dwelling approvals, which rose 8.7 percent from three months earlier. And the value of the permits lifted an even more impressive 41 percent, indicating some higher-valued projects are in the pipeline.

Commercial building consents in the quarter took a tumble, dropping to a five-year low.

Paymark electronic transactions data recorded a 1.7 percent increase, which was twice the nationwide rise, but this increase was contrasted by official retail sales data for Taranaki which showed a 1.9 per cent fall.

The report adds that after a surge in June, house sales eased 4.1 percent, but remained at the second-highest level for a year and a half.

The report says aggregate economic activity in the North Island up 0.6 percent in the three months to September, while activity in the South Island almost double that at 1.1 percent.

- © Fairfax NZ News