28 Feb 2020

NZ consumer confidence remains high

12:32 pm on 28 February 2020

New Zealand consumer confidence remains high, according to the ANZ-Roy Morgan Consumer Confidence Index.

The index was down just one point on last month to 122.

Christmas shopping in Wellington.

Photo: RNZ / Rebekah Parsons-King

"Consumers are feeling pretty happy with their lot at the moment - the lifting housing market is making homeowners feel richer, job opportunities are relatively plentiful, and interest rates are low," ANZ chief economist Sharon Zollner said.

"Expectations of good times continuing will support spending today."

A net third of consumers expected to be better off financially this time next year, while a net 14 percent felt better off now than a year ago.

Zolner said things could change depending on how long the coronavirus outbreak lasted.

"Global shocks - while they might seem someone else's problem - they do work their way through the economy and tourism for example, is a pretty large employer and clearly that's in the gun of this shock at the moment.

"So, if it persists it will feed through eventually and reach the person on the street."

"At the moment people have a vague concern, but it feels quite distant."

The index is a monthly measure of consumer confidence across New Zealand households and how this affects their spending behaviour.

An ANZ business confidence survey this week revealed a pessimistic outlook on the economy.