| Business confidence has showed some slight improvement in March but continued to remain poor. According to the monthly report released by the National Bank of New Zealand, a net 39% expect deterioration in business conditions over the year ahead compared with a net 41% in February.A net 21% are expecting tougher times for their own business over the year ahead, a tad off December’s record low reading of -22. Profit expectations are unchanged on last month, with a net 41% expecting lower profits.
Employment intentions remain weak, but recovered a marginal percentage point. A net 28% still expect fewer staff over the year ahead and views towards the unemployment rate are universally up.
Investment intentions were the standout in this survey, falling another 3%. A net 19%expect to be undertaking less investment over the year ahead — a new historical low. Export intentions fell further, with a mere net 2% expecting positive growth, and that is prior to the recent run-up in the currency. Pricing intentions nudged lower. A net 9% expect to raise prices over the year ahead, close to a six-year low. |
