NZIER Consensus Forecasts show a lower growth outlook beyond the higher starting point, June 2022

The latest NZIER Consensus Forecasts show a downward revision to the growth outlook over the coming years, despite the stronger starting point. The revisions reflect expectations of weaker activity across most sectors from 2023. Although the recovery in demand was stronger than initially expected as lockdown restrictions were relaxed, there are increasing headwinds for the New Zealand economy. These headwinds include continued global supply chain disruptions as countries continue to grapple with COVID-19, the war in Ukraine and rising interest rates.