New Zealand business confidence lifts in May but firms remain under pressure
According to RNZ Business, ANZ's May business-outlook survey showed headline confidence rising 21 points to a net 10 percent positive. Firms reported continued pressure on demand, costs and employment.
According to RNZ Business, ANZ's May business-outlook survey showed the headline confidence indicator jumping 21 points to a net 10 percent positive. According to the report, many sectors — from agriculture and construction to services and manufacturing — reported greater optimism for the next 12 months. At the same time, many firms said demand remained subdued, input-cost pressures continued and they were being cautious on hiring decisions.
In comments attributed to ANZ chief economist Sharon Zollner, the rise in confidence was framed as consistent with expectations around the Reserve Bank of New Zealand's (RBNZ) interest-rate stance and the fiscal-policy mix. The report also flagged that softening in the labour market across retail, real estate and energy segments would be watched closely. The RBNZ recently kept its benchmark rate at 2.25 percent.
In the coming period, consumer sentiment, the RBNZ's interest-rate path for the rest of the year and follow-on actions from the government's Budget 2026 will be directional themes. This article is not investment advice; financial decisions should be guided by a licensed adviser.
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