The ANZ Truckometer report for March 2017 says in terms of the growth rate of the New Zealand economy this is “as good as it gets”.
“This is not to say that something untoward is around the corner, just that this economy cannot grow 4% a year for any length of time,” says the Bank.
Both the ANZ Truckometer indexes lifted in February. The heavy traffic index rose 2.3% month on month, while the light traffic index lifted 0.7% month on month.
The heavy traffic index continues to trend upwards and even accelerate after a lull in mid-2016.
The upward trend in the light traffic index has flattened, suggesting New Zealand may see growth moderate later in the year.
“More modest growth in the second half of 2017 would not be surprising or alarming, given mounting evidence that the economy is attempting to grow faster than it sustainably can, with capacity constraints such as skilled labour more apparent,” says the ANZ.
