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Home / Business

Exports up but deficit continues to grow

30 Jun, 2000 03:24 AMQuick Read

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WELLINGTON - Improving export performance provided a bright spot in the worsening trade-deficit picture for the September quarter.

The figures provided ammunition for both main political parties but because the key numbers were little changed from provisional data released two weeks ago they had no market impact.

"The gap between exports and imports is narrowing and better primary production, buoyant manufacturing export intentions as well as a competitive currency all point to better exports further out," said BNZ economists in a commentary.

Exports in September rose to $2.03 billion from $1.88 billion in August and from $1.84 billion in September a year ago.

But growth in imports, to $2.57 billion from $2.31 billion in August and from $2.04 billion in September 1998, pushed up the trade deficit.

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The deficit more than doubled from $196 million for the month of September last year to $544 million in September this year, and was up 26 per cent from August's $429 million deficit.

As a consequence, the annual deficit for the September year ballooned to $2.25 billion from $1.90 billion in the August year and just $287 million in the September 1998 year.

- NZPA

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