The ANZ Business Confidence Index in New Zealand rose to an eight-month high of -24.1 in December 2018 from -37.1 the previous month. Still, the latest reading continued to suggest firms remain pessimistic despite an improvement in their perceptions of their own activity (13.6 from 7.6 percent in November). Also, the gauge measuring exports climbed to 14.9 from 8.3 and the employment index rose to 7.4 from 2.2. Meantime, inflation expectations edged down to 2.15 from 2.29; interest rates declined to 17.5 from 28.1, and pricing intentions fell 23.9 from 28.2. Business Confidence in New Zealand averaged 5.31 percent from 1970 until 2018, reaching an all time high of 80.90 percent in February of 1994 and a record low of -76.40 percent in December of 1974.
Business Confidence in New Zealand is expected to be -36.00 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Business Confidence in New Zealand to stand at -32.00 in 12 months time. In the long-term, the New Zealand Business Confidence is projected to trend around 15.00 percent in 2020, according to our econometric models.