New Zealand’s services sector remained in positive territory, despite winter having a negative effect on some businesses, according to the BNZ – BusinessNZ Performance of Services Index (PSI).
The PSI for July was 56.0. This was 2.3 points lower than June, and the lowest value since April (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 despite the dip in expansion, July’s main result was still clearly above the long-term average for the survey, and showing solid expansion.
“Looking at comments from respondents, a number of negative comments centred on wet and wintery conditions hampering business activity, although almost 60% still outlined positive comments.”
BNZ Senior Economist Doug Steel said that “service sector growth cooled somewhat in July. The weather looks to have been, at least partly, to blame, as it was for the slight dip in the month’s Performance of Manufacturing Index (PMI) released last week”.
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...