The Business NZ Performance of Services Index in New Zealand rose to 54.7 in July 2019 from an upwardly revised 53.0 in the previous month, above the long term average of 54.4. It was the strongest gain in services activity since January, driven by new orders/business (58.2 from 55.3 in June) and activity/sales (57.2 from 55.0). Also, employment (51.7 from 51.0) and stocks/inventories (54.4 from 53.6) improved slightly. Meanwhile, supplier deliveries fell further into contraction (48.8 vs 49.1). Services Pmi in New Zealand averaged 54.44 from 2007 until 2019, reaching an all time high of 60.90 in April of 2007 and a record low of 44.70 in November of 2008.
Services Pmi in New Zealand is expected to be 56.00 by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Services Pmi in New Zealand to stand at 55.00 in 12 months time. In the long-term, the New Zealand Services Pmi is projected to trend around 54.68 in 2020, according to our econometric models.