Regions around the country appear to have run out of economic puff during the three months to December, with 10 of the 14 areas experiencing a decline in economic activity.
All 14 regions grew economically year on year, ranging from lowest-ranked Nelson-Marlborough's 1% through to Otago at third highest for the year with 2.9% growth and the Bay of Plenty top with 3.8%.
National Bank economist Steve Edwards said the regional trends data showed Otago was second highest in the country in terms of consumer confidence for the quarter, its highest ranking in those stakes since 2006.
Otago house sales grew 4.5% during the quarter and the number of residential house approvals rose 4%, compared with a national decline of 8% for the period, he said.
"[Quarterly] economic activity in the North Island contracted by 0.3%, while activity in the South Island rose by 0.2%," Mr Edwards said in a statement yesterday.
Canterbury's rebound of 0.5% in economic growth, in the wake of the devastating September earthquakes, topped the 14 regions during the quarter, with a rise in new car registrations and residential building approvals, he said.
"Despite the devastation suffered in the region, both business and consumer confidence remained above the nationwide benchmarks," Mr Edwards said.
Year on year, national economic growth increased to a three-year high of 2.2%, with the North Island economy expanding 2.3% and the South Island a "more sedate" 1.7%, Mr Edwards said.
