BNZ – BusinessNZ
Performance of
Services Index

New business boost – PSI

20 Feb, 2017
59.5
January
+1.0

Monthly Change

expanding
faster rate

New Zealand’s services sector experienced ongoing expansion during January to start 2017 on a very positive note, according to the BNZ – BusinessNZ Performance of Services Index (PSI).
 
The PSI for January was 59.5.  This was 1.0 point up from December, and the highest value since September 2015 (A PSI reading above 50.0 indicates that the service sector is generally expanding; below 50.0 that it is declining).
 
BusinessNZ chief executive Kirk Hope said that increased activity in the services sector was across the board.

“While activity/sales (60.8) remained above the 60-point mark, new business/orders reached its highest level since January 2014, which should flow through to overall activity over the coming months”.
 
BNZ Senior Economist Doug Steel said “that the PMI strengthened a bit further in January, which was no mean feat given it was already at very perky levels and continues the acceleration of late last year”.

View the Time Series Data
Kirk Hope

Kirk Hope

CEO, BusinessNZ

BNZ - BusinessNZ PSI

Time Series Data

View seasonally adjusted and unadjusted time series data for the BNZ - BusinessNZ PSI

Services Landscape

Swift Service

New Zealand’s Performance of Services Index (PSI) strengthened a bit further in January. That is no mean feat given it was already at very perky levels. Indeed, January’s 59.5 reading has only been surpassed once (September 2015 at 59.7) since 2007.
Read more

Confidence and Sales

The ANZ-RM consumer confidence index remained well above average in January. It goes to show that it is not just more people (strong net migration) that are driving sales growth, but confidence among those already here.
Read more

Building Off Highs

A strong January PSI offsets some slower signals in other indicators of late such as the PMI, building consents and house sales. Residential building consents fell 7.2% in December, extending the 9.2% decline of November.
Read more

House Sales Lower

Indications of further weakening in housing turnover, has coincided with slowing inflation, albeit with considerable variation across categories and regions.
Read more

View full BNZ Services Snapshot
Doug Steel

Doug Steel

Senior Economist, BNZ

Sponsor Statement

BNZ is delighted to be associated with the Performance of Services Index (PSI) and BusinessNZ.

This association brings together the significant experience of leading business advocacy body BusinessNZ, and business finance specialist BNZ.

We look forward to continuing our association with BusinessNZ and associated regional organisations, and to playing our part in the ongoing development of the New Zealand service sector.

View website

PSI Time Series Table

The results are seasonally adjusted.

National Indicies Jan
2016 		Sep
2016 		Oct
2016 		Nov
2016 		Dec
2016 		Jan
2017
BNZ – BusinessNZ PSI 55.0 54.5 56.9 58.4 58.5 59.5
Activity/Sales 58.4 57.9 59.2 64.2 63.4 60.8
Employment 50.1 51.7 54.9 52.3 54.4 53.3
New Orders/Business 55.7 56.3 58.2 62.2 61.4 64.3
Stocks/Inventories 53.3 53.5 54.1 52.3 52.9 57.4
Supplier Deliveries 54.5 52.3 55.0 56.3 56.9 56.9
View the Time Series Data

BNZ – BusinessNZ PSI Time Series

January 2013 – January 2017

International Results

J.P. Morgan Global Manufacturing PSITM

03 Feb 2017
53.9

About the PSI

The BNZ – BusinessNZ Performance of Services Index is a monthly survey of the service sector providing an early indicator of activity levels.

A PSI reading above 50 points indicates service activity is expanding; below 50 indicates it is contracting.

The main PSI and sub-index results are seasonally adjusted.

Technical Contact

Stephen Summers
Economist, BusinessNZ

[email protected]

PSI Releases

Lost momentum

New Zealand’s services sector fell back into contraction during March, according to the BNZ – BusinessNZ Performance of Services Index (PSI). The PSI for March was 47.5 (A PSI reading above 50.0 indicates that the service sector is generally expanding; below 50.0 that...

Path of expansion

New Zealand’s services sector continued its path of expansion in February, according to the BNZ – BusinessNZ Performance of Services Index (PSI). The PSI for February was 53.0 (A PSI reading above 50.0 indicates that the service sector is generally expanding; below...

Green shoots?

New Zealand’s services sector climbed back into expansion for the start of 2024, according to the BNZ – BusinessNZ Performance of Services Index (PSI). The PSI for January was 52.1 (A PSI reading above 50.0 indicates that the service sector is generally expanding;...

Activity on holiday

New Zealand’s services sector fell back into contraction during December, according to the BNZ – BusinessNZ Performance of Services Index (PSI). The PSI for December was 48.8 (A PSI reading above 50.0 indicates that the service sector is generally expanding; below...

Over the line

New Zealand’s services sector recorded expansion in November, according to the BNZ – BusinessNZ Performance of Services Index (PSI). The PSI for November was 51.2 (A PSI reading above 50.0 indicates that the service sector is generally expanding; below 50.0 that it is...

View all PSI releases

BNZ – BusinessNZ
Performance of
Composite Index

58.7

GDP-Weighted Index

56.7

Free-Weighted Index

The seasonally adjusted BNZ – BusinessNZ Performance of Composite Index or PCI (which combines the PMI and PSI) saw the two options for measuring the PCI both improve slightly from December.
 
The January GDP-Weighted Index (58.7) increased 0.7 points from December, while the Free-Weighted Index (56.7) rose 0.2 points.  Although the PMI displayed lower activity for January, this was more than made up by the upwards movement in the services sector.

PCI Time Series Table

The results are seasonally adjusted.

National Indicies Jan
2016 		Sep
2016 		Oct
2016 		Nov
2016 		Dec
2016 		Jan
2017
GDP-Weighted Index 55.9 54.9 56.6 57.5 58.0 58.7
Free-Weighted Index 57.4 55.8 55.8 56.5 56.5 56.7
View the Time Series Data

BNZ – BusinessNZ PCI Time Series

January 2013 – January 2017

About the PCI

The BNZ – BusinessNZ Performance of Composite Index (PCI) takes into account results from both the Performance of Manufacturing Index (PMI) and the Performance of Services Index (PSI). Combined results are shown in two ways:

GDP-Weighted Index:
Apportions the weight of the manufacturing and services index within the economy to produce an overall result.

Free-Weighted Index:
Combines data from both indexes to produce an overall result.

Both time series for the PCI are then seasonally adjusted.

BNZ - BusinessNZ PCI

Time Series Data

View seasonally adjusted and unadjusted time series data for the BNZ - BusinessNZ PCI

Our Contributors

The BNZ – BusinessNZ PSI contains data obtained through BusinessNZ’s regional organisations