Outflow to Australia shows signs of easing

Kiwis have been flocking to Australia for years as they seek higher wages and a better standard of living. Photo / Supplied

The net outflow of Kiwis moving permanently to Australia for a better life slowed in May, with the first monthly decline since April 2010.

There was a net loss of 3200 migrants to Australia last month, down from a net outflow of 3300 in May 2011, the first time the monthly net loss has declined since April 2010, according to Statistics New Zealand. The annual net loss eased back to 39,600 in May from 39,800 in April.

Total migration for May for all countries was a loss of 1800, down from 2100 a year earlier. The annual net loss was 3700.

People have been quitting New Zealand for Australia for years as they seek higher wages and a better standard of living. The National Government has vowed to reverse the trend. Figures this week show the New Zealand economy grew 1.1 per cent in the first quarter, closing in on Australia's growth of 1.3 per cent, which may hint that migrating will abate.

The report also showed the exodus from Christchurch has slowed.

"After the February 2011 earthquake, 800 Christchurch residents moved overseas in May 2011," Statistics NZ said. "And 500 Christchurch residents moved overseas in May 2012, the same as in May 2010."

Four hundred migrants settled in Christchurch last month, up from 100 a year earlier. On an annual basis, the number of short-term visitor arrivals rose 1 per cent to 140,800, with a 51 per cent increase in visitors from China to 12,900, the highest-ever.

Visitors from Japan rose 20 per cent to 3000, showing a partial recovery toward the May 2010 level of 5300 visitors after Japan's own earthquake and tsunami in March 2011.

ASB economist Daniel Smith said particularly noticeable was that UK visitor numbers were about 18 per cent lower than in May 2011.

"Unfortunately this does not appear to be a one-off; since the RWC visitor numbers from the UK and the rest of Europe have dropped markedly on a seasonally adjusted basis."

Economic problems in Europe were likely to suppress visitor numbers from the region for the foreseeable future. Overseas trips by New Zealand residents fell by 2500 to 179,300, compared with a year earlier.