A rapid fall in net migration spells good news for the Reserve Bank, says the ANZ.
Data from Statistics New Zealand showed the seasonally adjusted net permanent and long-term migration for June was an increase of 590 people.
ANZ economist Philip Borkin said the three-month annualised net migration
had fallen sharply from 13,000 in January to less than 5000 people in June - giving some comfort to the Reserve Bank.
"Migration has been one of the sources of support for the housing market and the fact it has come off quite substantially over the last few months will obviously see the demand for housing pull back slightly."
However, the falling rate of migration would take six to 12 months to feed through to the housing market and would not affect short-term monetary policy decisions, he said.
Easing migration could also be a double-edged sword adding to the problems of a tight labour market.
The migration rate was falling largely because of an increased number of people permanently leaving the country.
The Australian economy was growing, with a tight labour market and a personal tax regime that was probably a bit more attractive to New Zealanders, Borkin said.
A net 28,370 New Zealand citizens permanently left the country in the year ending June - the highest figure for a June year since 2001.
Meanwhile, short-term visitor arrivals were up 4 per cent on June last year at 145,498 people.
The strength of tourist arrivals in face of the high dollar value was a surprise, Borkin said.
"People are still coming but they are cutting back on the amount of money they do spend. Whether the latest surge in the dollar just continues that trend or we actually see less people arrive it will be interesting to note."
Any impact by the dollar on visitor numbers would also take some months to filter through, he said.
Australian visitors increased 6.5 per cent in June to 63,669, while the British and US markets were down 2.7 per cent and 11.5 per cent respectively.
Migration & visitors
* Migration flow continues to ease.
* Net 590 long-term arrivals in June.
* Expected to take pressure off housing.
* Tourist arrival numbers hold up well.
