Local Economic Profile
After a long recession, economic activity in New Zealand has picked up. Output in the national economy is rising, primarily on the back of a strong rebound in exports. An increase in domestic spending and investment in late 2009 and early 2010 also contributed to growth. This growth has remained modest, but stable, and employment, financial markets, and retail investments are slowly gaining in momentum.
Beyond 2014 the economy looks more optimistic, with more significant growth expected in both business and residential investments. This can be attributed, in part, to both the Canterbury rebuild as well as recovery from the recent drought. The New Zealand dollar continues to trade high and is expected to hold back growth on exports until at least 2016 however; global demand for New Zealand product will see growth in export markets.
This economic climate provides for the perfect environment for Upper Hutt investment, meaning investors can capitalise on lower property prices and establish operations and local markets at a time when consumer confidence is elevated. Return on investment, particularly for those preparing for exports, will be soon to come as the dollar slowly declines and international economies recover.
- GDP in Upper Hutt City measured $799m in the year to March 2011, up 0.9% from a year earlier
- Economic growth in Upper Hutt City averaged 2.3% pa between 2001 and 2011 compared with an average of 2.2% pa in the national economy
- Upper Hutt’s GDP growth of 0.9% ranked it number 38 among the 72 territorial authorities for GDP growth
- Upper Hutt had the 34th most diverse economy among New Zealand’s 72 territorial authorities, as measured by the Tress index
- Tertiary industries accounted for the largest proportion of GDP (76%) in Upper Hutt, which is higher than in the national economy (65%)
- Secondary industries accounted for 14% of GDP which was lower than for New Zealand as a whole (18%)
- Primary industries accounted for the smallest proportion in Upper Hutt City: 1% compared with 7% in the national economy