New Zealand's services sector continues to experience a downturn, as evidenced by the latest Performance of Services Index (PSI) figures. Updated on 14 September 2025, the current PSI has decreased to 47.5 from its previous reading of 48.9, marking a further contraction in the sector.
The PSI, a key indicator used to gauge the health of New Zealand's services industry, signifies a contraction whenever it falls below the neutral 50 threshold. The slide from 48.9 to 47.5 suggests that the sector is under increasing pressure, potentially affected by various economic factors affecting demand for services.
Industry analysts will be keenly observing the underlying components of this index to better understand which areas are driving this decline, as well as any potential policy responses or adjustments that might be necessary to stabilize and reignite growth within the services sector. With New Zealand's services industry being a crucial element of the economy, these figures will be pivotal in guiding economic strategy moving forward.
