For now, the economy remains downbeat, with a real decline in spending, and levels of investment easing further in 2024. Spending growth remains below inflation with the high cost of living continuing to weigh on discretionary spending. At the same time, the population of the country is growing, masking further weakness in per capita spending across the economy.

While the data isn’t as glowing as we’ve seen in previous years, it is not unexpected.  On the upside, the downturn in economic activity will drive down inflation and support the delivery of lower interest rates into 2025.

Coming off the back of several years of significant growth, our region's comparative affordability remains a strength, and with more upcoming infrastructure investment planned for our pipeline, we are positioned well for the future.

“While things have definitely cooled, it's important to look ahead and ensure we're still future proofing the region through key infrastructure projects and investment, setting our future workforce up for success and keeping our eye on the long-term outlook. For now, shopping locally and supporting our community businesses is a small but meaningful action we can all take to foster positive impact and lead us toward better times ahead.” - Notes Jerry Shearman, CEDA's Tumuaki - Chief Executive.