8 Oct 2011

Economist warns of mixed Rugby World Cup benefit

5:56 am on 8 October 2011

An economist says regions that hosted Rugby World Cup pool matches are likely to have done very well out of it, but that benefit may not have been seen in other areas.

ANZ Bank chief economist Cameron Bagrie says the money people spent on the World Cup is likely to have come out of discretionary spending, so other areas of the economy might suffer.

They include more traditional tourist areas, as non-rugby fans appear to have stayed away in the belief that prices would be raised during the tournament.

Mr Bagrie says the World Cup is proving incredibly important in keeping confidence in the economy high but there is a real danger, given global events, that New Zealand could follow the World Cup party with a repeat of the recession of 2008.