The Gisborne Herald
The Gisborne regional economy was the only one in the country that did not fall into negative territory in the year-on-year growth figures, according to the nationwide survey.
Year-on-year growth in this district went from 0.3 percent in June, to 0.6 percent in September. Three other regions to improve in the September quarter (Auckland, Manawatu-Wanganui and Nelson-Marlborough) merely recorded a smaller rate of decline, the bank said.
“Confounding the rest of the country, Gisborne’s annual economic growth rate has remained positive throughout the recent economic downturn and has risen to its highest rate of increase since 2007,” said economist Steve Edwards.
But at the same time Gisborne topped the table for regional unemployment, which grew to 11.6 percent, the highest in the country.
Meanwhile, Gisborne reported the largest rise in commercial construction consents across the nation. The number was up by a third from June to record its highest level since mid-2008. Residential building permits increased 12 percent to the highest level in a year. But after a 33 percent surge in June, the number of house sales retraced to a more typical level in September.
These indicators are likely to rise even further over the coming quarter, with council building consent staff expecting consent applications for the new Warehouse store, a large format retail development in Customhouse Street, a $1.8 million extension to the St John building, the restoration of the burned-out Adair building and the last of the major earthquake repair contracts coming through. Also in the pipeline are Ryman’s new retirement village planned for Lytton West Village, and the council’s $40m wastewater treatment plant.
Consent staff are expecting a resurgence in house building to follow, as sections in the new Sponge Bay subdivision are sold.
Likewise, real estate agents are experiencing increased inquiry and sales of homes at a higher price level than they have seen over the past year, indicating consumer confidence is returning to the local market as people take advantage of lower interest rates.
Despite poor returns to the pastoral sector resulting from the high New Zealand dollar and lower meat prices, new tractor registrations were up 55% (-9% nationwide).
Electronic transactions were up 1.0% (0.8% for NZ) but the retail trade was down -1.2% (0.1% for NZ), which might have reflected higher food prices.
Despite that, new car registrations here were up 8% (11% for NZ).
The survey does not include export activity, so excludes the huge increase in export volumes this year from logs — which are expected to reach an all time of 1.4 million cubic metres this year.
Source: Click HERE
