News COVID-19

COVID-19 pushes New Zealand into the worst recession in years

COVID-19 pushes New Zealand into the worst recession in years
The country's GDP shrank by 12.2% between April and June as the lockdown and border closures hit. [Image: the conversation.com]

New Zealand is in its deepest recession in decades, following strict measures in response to the COVID-19 pandemic which were widely praised.

The country's GDP shrank by 12.2% between April and June as the lockdown and border closures hit.

It is New Zealand's first recession since the global financial crisis and its worst since 1987 when the current system of measurement began.

But the government hopes its pandemic response will lead to a quick recovery.

The nation of nearly five million was briefly declared virus-free, and although it still has a handful of cases, it has only had 25 deaths.

The economy is likely to be a key issue in next month's election, which was delayed after an unexpected spike in COVID-19 cases in August.

Prime Minister Jacinda Ardern's government has said the success in suppressing the virus is likely to help recovery prospects.

Finance Minister Grant Robertson said the GDP numbers were better than expected and suggested a strong recovery ahead.

BBC News reports some economists are also predicting a swift recovery, because of New Zealand's strong response to the virus.

Ardern said she backs the economy's ability to rebound.

She said activity is already picking up as the country has been able to open up a lot more quickly compared with other nations.

[Source: BBC]

Stay tuned for the latest news on our radio stations

CFL radio frequencies
Scoreboard
9:50PM
Broncos vs Storm
8:00PM
Sea Eagles vs Dragons
10:00PM
Panthers vs Bulldogs
Malolo vs Ba
Kadavu vs Lautoka
Nadroga vs Navosa
Full Time
Nadi 24–24 Tailevu
Full Time
Suva 36–10 Naitasiri
Full Time
kadavu 17–29 Namosi
1:00PM
Suva FC vs Navua FC
3:00PM
Labasa FC vs Nasinu FC
5:00PM
Rewa FC vs Lautoka FC
7:00AM
Crystal Palace vs Manchester City
11:30PM
Liverpool vs Nottingham Forest
2:00AM
Bournemouth vs Everton