New Zealand economy contracts 0.2% in second quarter

NEW Zealand’s economy contracted in the second quarter as a number of industries including retail trade and accommodation, agriculture, forestry, and fishing and wholesale trade slowed.

Official data out on Thursday showed gross domestic product fell 0.2 per cent in the June quarter from the prior quarter, better than analysts’ forecasts of a 0.4 per cent contraction. The Reserve Bank of New Zealand had forecast the economy contracted by 0.5 per cent.

However, annual GDP decreased 0.5 per cent, Statistics New Zealand data showed, which was in line with market expectations. REUTERS