Consistent service – PSI 18 Jul 2022 55.4June+0.1Monthly Changeexpandingfaster rate Kirk Hope Chief Executive, BusinessNZ View profile Activity levels for New Zealand's services sector in June displayed almost identical levels to last month, according to the BNZ - BusinessNZ Performance of Services Index (PSI).The PSI for June was 55.4 (A PSI reading above 50.0 indicates that the service sector is generally expanding; below 50.0 that it is declining). This was up 0.1 point from May, and above the long-term average of 53.6 for the survey.BusinessNZ chief executive Kirk Hope said that it was pleasing to see two consecutive months of healthy activity in the sector. The fact that the two key sub-indexes of New Orders/Business (61.7) and Activity/Sales (56.5) remained at very healthy levels of expansion has more than compensated with other issues at play, such as supplier deliveries (47.8) still stuck in contraction.Despite the consistent level of expansion with the previous month, the proportion of negative comments rose to 59% in June, compared with 50% in May and 61.9% in April.BNZ Senior Economist Craig Ebert said that "the move to traffic light Orange in mid-April, along with the expedited opening of the border, is clearly providing a basis for sustained improvement in New Zealand’s services sector". View the PSI Time Series Data Main Indicies Regional Results Services Landscape Craig EbertSenior Economist, BNZ PSIBy printing at 55.4 in June, the Performance of Services Index (PSI) showed that the jump in May to 55.3 was no flash in the pan, post the massive disturbance from Omicron earlier in the year.Read more Supply constraintsThat said, not all would appear well in the services sector. By industry, Wholesaling (47.1), Transport & Storage (31.3) and Finance & Insurance (41.3) were going backwards.Read more QSBO as further insightMeanwhile, complaints about supply chains, various costs (including fuel), and absenteeism, remained dominant in feedback to June’s PSI.Read more Growth implicationsPatchy as it was, under its glowing surface, June’s PSI was nonetheless positive enough to counter claims the NZ economy is going into recession already.Read more View the BNZ Services Landscape PSI Time Series TableThe results are seasonally adjusted. National Indicies Jun2021 Feb2022 Mar2022 Apr2022 May2022Jun2022 BNZ - BusinessNZ PSI 56.0 48.9 52.0 52.3 55.3 55.4 Activity/Sales 60.5 50.9 53.7 53.0 59.4 56.5 Employment 55.6 44.6 49.1 51.3 49.0 53.1 New Orders/Business 62.2 54.7 59.1 55.9 62.0 61.7 Stocks/Inventories 49.7 50.8 53.0 55.2 54.7 54.1 Supplier Deliveries 42.5 33.9 41.5 41.3 45.6 47.8 View the PSI Time Series Data BNZ - BusinessNZ PSI Time Series January 2016 – June 2022 International ResultsJ.P. Morgan Global Manufacturing PSITM 6 Jul 202253.9 54.6GDP-Weighted Index52.3Free-Weighted Index The seasonally adjusted BNZ - BusinessNZ Performance of Composite Index or PCI (which combines the PMI and PSI) saw both options for measuring the June PCI slip in expansion. The June GDP-Weighted Index (54.6) decreased 0.5 points from May, while the Free-Weighted Index (52.3) fell 2.4 points. PCI Time Series TableThe results are seasonally adjusted. National IndicesJun2021Feb2022Mar2022Apr2022May2022Jun2022 GDP-Weighted Index 56.449.451.951.155.154.6 Free-Weighted Index58.451.652.050.854.752.3 View the PCI Time Series Data BNZ - BusinessNZ PCI Time Series January 2016 – June 2022 In this section Surveys & Statistics Performance of Manufacturing Index Performance of Services Index Compliance Cost Survey Exporters Survey Southern Cross Health Society - BusinessNZ Wellness in the Workplace Survey Reports & Publications BusinessNZ Planning Forecast International BusinessNZ RAT Suppliers Guides & Tools BusinessNZ RAT Suppliers RATs for non-critical business, agencies and organisations BNZ - BusinessNZ PSI Time Series Data View seasonally adjusted and unadjusted time series data for the BNZ - BusinessNZ PSI BNZ - BusinessNZ PCI Time Series Data View seasonally adjusted and unadjusted time series data for the BNZ - BusinessNZ combined PMI & PSI. 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 Media Comment For media comment, please contact: Kirk Hope, 04 496 6560 Craig Ebert, BNZ 04 474 6799 Technical Comment For more information or assistance with data interpretation, please contact: Steve Summers 04 496 6564 ssummers@businessnz.org.nz Our ContributorsThe BNZ - BusinessNZ PSI contains data obtained through BusinessNZ's regional organisations About the PSIThe 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.About the PCIThe 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. Related Articles RMA shakeup long overdue Softening in September – PSI Spring is in the air Smooth operator – PSI Easing expansion – PSI View more