According to recent government statistics, an all-time high number of individuals are emigrating from New Zealand because of escalating joblessness, feeble economic growth and exaggerated rates of interest. Reuters informs that in the year ending June 2024, preliminary data showed there were 131,200 departures with most people moving to Australia.
This was revealed by Statistics New Zealand on Tuesday stating that around 75% of those who left were moving to Australia. Out of this number, 80,174 were citizens of New Zealand which has nearly doubled since Covid cases started.
Though immigration inflow into New Zealand remains large, economists expect these figures will fall because the nation’s economy is sluggish. Several New Zealanders returned home during the pandemic due to effective management of the disease in their country.
As inflation came within its target range at between one and three per cent on Wednesday, the central bank reduced interest rates by twenty five basis points to reach a total rate of five point twenty five percent. The Governor Adrian Orr said at a press conference “We can now start normalizing our policy interest rates because we are confident that inflation is back within its target band.”
The committee has been focused on raising confidence towards a move forward as he eloquently pointed it out in his words “It’s been about building the committee’s confidence to get moving, and we’re at that point now.” Reaching its highest level since inception in 1999, the central bank had increased rates by a record 5.21%.
July domestic economic activity had weakened further the Central Bank Committee highlighted. “With a broad range of indicators suggesting the economy is contracting faster than anticipated”, noted this committee, ”the downside risks to output and employment that were highlighted in July have become more apparent”.
Moreover, Kiwis are frustrated with increased cost of living alongside falling employment opportunities. Many are shifting base to such countries like Australia and UK.
Nursing, policing and teaching are some of the sectors in Australia experiencing job seekers interest through relocation packages due to shortages of skills. Conversely, New Zealand is cutting down on public sector jobs thereby leaving many skilled workers without any employment.
