New Zealand Services Activity Swings to Expansion

2026-01-19 21:40 By Felipe Alarcon 1 min. read

New Zealand’s BusinessNZ Performance of Services Index (PSI) rose to 51.5 in December 2025 from 46.9 in November, moving into expansion and ending the longest run of contraction since the survey began; the index remained below its long-term average of 52.8.

Three of the five sub-indices were in expansion, with New Orders/Business (52.5) leading the way after four months of contraction, followed by Activity/Sales (52.2) and Stocks/Inventories (51.9), while Employment (49.6) remained in slight contraction.

Despite the return to overall expansion, the share of negative comments eased to 50.4%, down from 52.9% in November and 54.1% in October.

Respondents continued to cite weak demand and confidence, high living and operating costs and Christmas-related shutdowns as the primary factors weighing on services sector activity.



News Stream
New Zealand Services PMI Eases to 3-Month Low
New Zealand’s BusinessNZ Performance of Services Index fell to 48.0 in February 2026 from a downwardly revised 50.7 in the previous month, marking the first contraction in services activity since last November and underscoring the fragility of economic momentum. Most sub-indices weakened, including activity/sales (47.9 vs 53.8 in January), new orders slipped (49.3 vs 51.6), employment (47.2 vs 49.0), and stocks (46.7 vs 49.4). Meanwhile, the delivery times index edged down (48.7 vs 49.4), indicating faster supplier deliveries. Looking ahead, the March survey will be the first to capture the potential business impact of the turmoil in the Middle East, meaning hopes for a near-term rebound may prove premature.
2026-03-15
New Zealand Services PMI Falls Slightly
New Zealand’s BusinessNZ Performance of Services Index eased to 50.9 in January 2026 from 51.7 in the prior month, reflecting subdued confidence as holiday closures and seasonal shutdowns slowed enquiries and extended the post-Christmas lull. High living and operating costs added further pressure. Still, the sector managed to stay in expansion for the first month of the year, following a prolonged period of contraction. Of the five sub-indices, two remained in growth: activity/sales (54.2 vs 52.5 in December), while new orders slipped (51.8 vs 52.7). In contrast, stocks fell after growing previously (49.7 vs 52.0), and employment weakened further (49.1 vs 49.6).
2026-02-15
New Zealand Services Activity Swings to Expansion
New Zealand’s BusinessNZ Performance of Services Index (PSI) rose to 51.5 in December 2025 from 46.9 in November, moving into expansion and ending the longest run of contraction since the survey began; the index remained below its long-term average of 52.8. Three of the five sub-indices were in expansion, with New Orders/Business (52.5) leading the way after four months of contraction, followed by Activity/Sales (52.2) and Stocks/Inventories (51.9), while Employment (49.6) remained in slight contraction. Despite the return to overall expansion, the share of negative comments eased to 50.4%, down from 52.9% in November and 54.1% in October. Respondents continued to cite weak demand and confidence, high living and operating costs and Christmas-related shutdowns as the primary factors weighing on services sector activity.
2026-01-19