There’s no let-up in economic news in April, with the latest inflation data showing, finally, some moderation in the pace of price increases. New tax data reports have also been released, and debates about a Trans-Tasman brain drain have been reignited.
In our newsletter this month, Chief Executive and Principal Economist Brad Olsen looks at the recent Australian government announcement to allow for a better citizenship pathway for Kiwis, and the resulting concerns over a brain drain to Australia. His assessment of Trans-Tasman migration data shows that there is already a net outflow to Australia, even before the announcement.
Principal Consultant Rob Heyes analyses household finances ahead of the looming recession, finding that disposable income, spending, and savings have all fallen recently.
On a sunnier front, economist Joel Glynn has examined the pipeline of electricity generation projects across New Zealand. His analysis finds that solar projects are appearing in other parts of the North Island, but also that the Lake Onslow project is a major project dominating the pipeline. More detailed data is available via subscription to the Infometrics Infrastructure Pipeline Profile (IPP).
With a few more months’ data now available, economist Sabrina Swerdloff delves into the figures around New Zealand’s tourism recovery. She finds that, although the recovery has been strong so far, it’s starting to plateau as economic realities hit.
Finally, Brad rounds out the newsletter with a Chart of the Month looking at ad spending, finding that there’s been a strong trend towards more digital advertising over time. More importantly, digital ad spending plateaued over 2022, highlighting more challenging times ahead for media and signaling that business spending is under a microscope.
