New Zealand’s ‘Eye-Popping’ Recovery Unprecedented
A leading global economist’s view is that New Zealand is showing an “eye-popping” recovery from the events of 2008-09.
Standard & Poor’s global chief economist Paul Sheard has said that comparing how different countries have recovered since the global financial crisis, New Zealand is a standout.
Measuring real GDP growth for different economies since the pre-global financial crisis peak, the US economy has grown 10.7%, the UK has grown 7.7% and the euro area has grown 0.7%. Real GDP in Germany is up 6.2%. In Italy GDP growth is -8.4%. Greece is -27%. Australia’s GDP is up 21%.
New Zealand is up an unprecedented 32.5%.
New Zealand is also in the position of having relatively low government debt, a budget surplus, and a central bank with room to cut interest rates.
Paul Sheard recently spoke at a business breakfast in Auckland.