New Zealand Services PMI Eases to 3-Month Low

New Zealand’s BusinessNZ Performance of Services Index increased to 48.9 in April 2026 from an upwardly revised 46.2 in March, which was the lowest reading in 10 months, marking the third straight month of contraction in the services sector due to the impact of the Iran war. However, the latest reading was higher than March’s, with new orders expanding (51.2 vs 46.0). Meanwhile, all four of the other sub-indices remained in contraction territory, with supplier deliveries posting the weakest reading at 46.6 (vs 47.2). Activity/sales (48.9 vs 44.7), employment (48.5 vs 46.6), and stocks (47.6 vs 46.2) all improved, though they remained in negative territory. “ The jump in the headline index might be read as hope that the New Zealand economy is proving to be remarkably resilient to the war in the Middle East. On the other hand, it could be interpreted as further evidence that the economy is struggling to get its head above water.” BNZ’s Head of Research, Stephen Toplis, said.

New Zealand’s BusinessNZ Performance of Services Index dropped to 46.0 in March 2026 from a downwardly revised 47.6 in the previous month, marking the second straight month of contraction in services, due to the impact of the Iran war. The latest reading was also the lowest since May 2025, lower than the average of 52.8 over the history of the survey, as all sub-indexes deteriorated. Activity/sales (44.6 vs 47.5 in February), new orders (45.7 vs 48.8), employment (46.4 vs 47.0), and stocks (46.2 vs 46.5) all weakened. Meanwhile, the delivery times index edged down (47.3 vs 48.5), indicating the impact of the Middle East conflict. " The industries that deal mainly in discretionary spending (accommodation, cafes & restaurants; and cultural, recreational & personal services) have been especially impacted, and this is likely to reflect a lack of consumer confidence," BusinessNZ’s CEO, Katherine Rich, said.

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.