New Zealand's economic indicators have shown a concerning downturn, with the latest Performance of Services Index (PSI) dropping to 40.2, according to data updated on 14 July 2024. This marks a decrease from the previous indicator, which had stopped at 43.0.
The Performance of Services Index is a key measure of the economic health of the services sector, with figures below 50 indicating contraction. The latest drop to 40.2 underscores ongoing challenges within New Zealand's economy and highlights persistent difficulties in the services sector, which has been struggling to gain momentum in the face of global economic pressures and domestic uncertainties.
While the specifics behind the decline were not disclosed, the new data suggests that businesses in this sector are continuing to face significant hurdles, and economic resilience will be critical in the upcoming months. Experts are closely monitoring these metrics, as further declines could signal deeper troubles and necessitate more robust policy responses to stimulate recovery and growth.
