Spending is up and so is retailer confidence as more people in New Zealand loosen their wallets.
New Paymark figures show an increase in eftpos and credit card spending in January compared with the same month a year ago.
ASB Bank chief economist Nick Tuffley said spending increased going into the Christmas period and that momentum continued into January.
He said consumer spending will continue to grow throughout 2013 and be supported by the rebuilding in Canterbury, a strong housing market and an increase in jobs.
Mr Tuffley believes there is still pressure on retailer margins as New Zealanders are a nation of bargain hunters.
