Everything on New Zealand Economy

The island nation of New Zealand is not so impressive in terms of its economy. This nation is a market economy i.e. it is dependent on the international trade and market for its survival.

If the international market is on the positive side then New Zealand economy is also on the safer side but even a slight hiccup or hitch in the world economy would result in New Zealand being affected severely.

The best example is the 2007-2009 financial crises which saw New Zealand remain stagnant. In fact this country faced one of the severest recessions and fell apart during this period.

The Major Industries in New Zealand:

As mentioned earlier the New Zealand economy is not so convincing in the sense that it largely depends on super powers like United States of America, China and Japan. So there are only few industries in New Zealand which give them a fair amount of credibility.

They are the food processing industries and the textile industry. Textile industry is the key to New Zealand’s revenue because of the high quality wool they produce. The world class merino wool is largely exported from New Zealand to other countries. Food processing also adds great value to the economy of New Zealand.

The Growth Rate and Statistics:

The Gross Domestic Product of the economy of New Zealand is only a paltry 109.6 billion dollars with a per capita income of 27,700 dollars. The growth rate of this country is not as encouraging as it should be. The year 2009 saw New Zealand economy suffer very badly and it had a negative growth rate of 1.3%.

Even before the financial crises, the growth rate of New Zealand reeled around the 1.3% mark. The country faces huge unemployment problems with nearly eight percent of its total working class population completely unemployed.