Economical overview
The export-dependent New Zealand is still a
prominent agricultural country. The production of dairy
products, meat and wool was built up in the 19th century
for the British market but is of great importance to the
New Zealand economy also in the 2000s. Fishing and
forestry also provide important income.
Agriculture accounts for only a few percent of gross
domestic product (GDP) but generates a large portion of
export revenue and provides foreign currency. It also
underlies much of the manufacturing industry, which has
developed at a rapid pace and accounts for a growing
share of exports. The service sector accounts for over
two-thirds of GDP and tourism is of great economic
importance.
-
Countryaah.com:
Major imports by New Zealand, covering a full list of top products imported by the country and trade value for each product category.
In the 1980s and 1990s, the economy was deregulated
following problems with large budget deficits, high
government debt and a currency that was losing value.
Government companies were privatized, subsidies were
removed and price controls were abolished. It was a
turbulent time with poor growth. The radical
transformation of the economy led to increased
unemployment and created political contradictions.
From being one of the most regulated and subsidized
economies in the industrial world, the New Zealand
economy is now considered one of the most open. During
the 2010s, New Zealand has been at the top of several
lists of the world's best business climate for foreign
investors.
The economy has depended on favorable weather for
agriculture and high world market prices for a few
goods. The country has therefore sought to broaden its
economic base, including in knowledge-based production,
such as biotechnology. New export products and new
markets have reduced the vulnerability of the economy to
some extent. In addition, raw materials are processed to
a greater extent than before they are exported.
In the years 2000-2007, the economy grew by an
average of 3.5 percent per year. Government spending
increased, but at the same time taxes were raised to
finance investments in health care and care.
-
Abbreviationfinder.org: Check this abbreviation website to find three letter ISO codes for all countries in the world, including ZK which represents the country of New Zealand.
As a result of the global financial crisis of 2008,
private consumption slowed down as exports fell. GDP
fell by 3 percent in 2009, but the economy recovered
quickly. Already in 2010 GDP grew again and in the
coming years growth continued to be better than in both
EU countries and the US. The recovery was led by the
export industry, which was boosted by significant demand
from the two major markets Australia and China. The
rebuilding after the Christchurch earthquake in 2011
also helped stimulate the economy through large
multi-year construction projects and other
infrastructure investments. The growth rate continued to
be good for the next five years, although it was
somewhat dampened when the important dairy exports were
partly affected by lower world market prices for milk,
New Zealand's external debt increased sharply during
the financial crisis. However, with the help of a strict
budgetary policy, the government managed to reduce its
loans to just over one fifth of GDP towards the end of
the 2010s - which is low compared to many other
developed economies. The country has also succeeded in
turning the previous budget deficit into a surplus. At
the same time, economic growth has continued to be good
and unemployment low, which has enabled the Labor-led
government to invest in strengthening welfare in the
country.
But there are also some economic clouds of concern.
Experts have warned about the high indebtedness among
New Zealand households while housing prices continue to
rise. There are also continuing problems with deep
income gaps.
FACTS - FINANCE
GDP per person
US $ 41,966 (2018)
Total GDP
US $ 205,025 million (2018)
GDP growth
2.8 percent (2018)
Agriculture's share of GDP
6.6 percent (2016)
Manufacturing industry's share of GDP
10.0 percent (2016)
The service sector's share of GDP
65.6 percent (2016)
Inflation
1.4 percent (2019)
Government debt's share of GDP
29.8 percent (2018)
Currency
New Zealand dollar
|
