NZ finmin Robertson says despite the GDP data the New Zealand economy remains resilient

NZ Finance Minister Grant Robertson comments, says that despite the GDP data the economy in New Zealand remains resilient.

The data, ICYMI, showed the economy shrunk in Q4 of 2022:

• New Zealand GDP for Q4 2022 (sa) -0.6% q/q (expected -0.2%)

• NZD marked lower on the worse than expected economic contraction data from New Zealand

• Analysts at ASB in New Zealand trim expectations for Reserve Bank of New Zealand rate hike

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On the data, Q3 was revised to 1.7% q/q from 2.0%.

• Q4 came in at -0.6%, much worse than the -0.2% consensus expected and miles from the Reserve Bank of New Zealand forecast of +0.7!
• consumption was flat
• investment dropped

As you see above, expectations for the RBNZ April 5 meeting are being scaled back to a 0.25bp rate hike. If banking system ructions its not a stretch to think the Reserve Bank of New Zealand will pause in April.