Liam Dann: NZ Herald business editor on today's GDP figures surpassing expectations - Heather du Plessis-Allan Drive

The New Zealand GDP figures have surpassed expectations by going up 2 percent, but it may come with consequences.

This economic growth was helped by a surge in service activity, international tourism and exports following the borders opening and Covid-19 restrictions easing up. Service industries, warehousing, and transport were among the leading forces in growth.

Economists had predicted a 0.9 percent increase, and the 2 percent increase is far beyond what they predicted, but NZ Herald business editor Liam Dann warns that this growth may force a higher OCR hike come February.

Liam Dann says these numbers are good, but households will be in for a tough 2023 as the economy slows down and the economic downturn sets in.

LISTEN ABOVE

See omnystudio.com/listener for privacy information.