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Consumer confidence in New Zealand showed signs of recovery in September, according to the latest ANZ-Roy Morgan data released on Friday. The index climbed to 94.6 from 92.0 in August, reflecting a modest improvement in sentiment. While the reading remains below the neutral 100 threshold—which separates optimism from pessimism—the upward movement suggests that households are beginning to feel some relief as monetary policy shifts.
The improvement comes as the Reserve Bank of New Zealand’s easing measures start to filter through the economy. Lower interest rates are gradually reducing financial pressure on households, encouraging spending and investment. ANZ Chief Economist Sharon Zollner noted that while challenges remain, the economic outlook is beginning to brighten. “It’s not all doom and gloom out there,” she said. “Easier monetary policy is starting to feed through, and we expect the economy to put in a markedly improved performance over the next 12 months than the last – though that isn’t saying a lot, to be fair.”
Consumer confidence is a crucial indicator of economic health, often influencing spending habits and overall growth. Although New Zealand’s economy has faced headwinds from global uncertainty, high living costs, and weaker growth in recent quarters, the latest data suggests cautious optimism. Rising confidence may help fuel domestic demand, which in turn supports business activity and job creation.
Economists caution, however, that sentiment remains subdued compared to historical averages, and sustained recovery will depend on broader economic conditions, including wage growth, housing market stability, and global trade performance. Still, the September uptick indicates that policy efforts are beginning to yield results, offering a more hopeful outlook for households and businesses in the coming year.
At 94.6, New Zealand’s consumer confidence is not yet signaling widespread optimism, but the steady improvement marks an important step toward stabilizing the economy and restoring growth momentum.
