New Zealand’s economy surged in the first quarter, led by increased food manufacturing and milk production, but the central bank was still seen with room to keep interest rates at a record low into next year.
Gross domestic product rose a seasonally adjusted 1.1 percent in three months to 31 March, the highest since March 2007 quarter, from a revised 0.4 percent in the previous quarter, official data showed on Thursday.
Economists polled by Reuters forecast a rise of 0.5 percent on the previous quarter, to be 1.3 percent higher than the same quarter a year ago. The Reserve Bank of New Zealand forecast a quarterly rise of 0.4 percent in its June monetary policy statement.
(Source: CNBC)