Unadjusted figures provided by Statistics New Zealand showed a record net gain of 69,100 migrations in the year ended August, equalling the previous annual record in the June 2016 year. The latest annual net gain was up 8800 from the year ended August 2015.
Arrivals rose 6% to 125,000 in the August year, one quarter of whom were returning New Zealand citizens. Departures fell 3% to 55,900, of which some 60% were New Zealand citizens leaving. The decrease was largely due to fewer Kiwis migrating to Australia, Statistics NZ said.
A swelling population stoking economic activity and record inflows of tourists have helped offset the impact of a rural sector that had been reeling from weak dairy prices. At the same time, a rising population has posed problems for local and central government politicians by fuelling demand for an already-stretched housing market in Auckland, while restraining wage growth. The nation's per capita growth has been slight, despite overall gross domestic product growth being the third-strongest in the Western world.
The Treasury said in the Budget it expected annual net migration would peak in June at 70,700, before returning to the long-run average of 12,000 by June 2019.
Economists are still saying migration levels are close to peaking, something they have emphasised for several months. However, there seems no sign of them slowing quickly or dramatically.
''We expect annual net migration to gradually slow over the coming years from current record levels,'' Westpac senior economist Satish Ranchhod said in a note.
''Foreigners who have arrived on temporary work or student visas over the past three years will start to depart. In addition, an improving Australian economy is expected to entice New Zealanders across the Tasman over time. However, this will take time, meaning annual net migration will remain at elevated levels for some time yet.''
Work visas were up 3700 to 39,600 in the year ended August, residence visas were up 1900 to 15,700 and New Zealand and Australian citizen numbers were up 1600 to 36,800.
In the August year, there was a net gain of 1800 migrants from Australia, the 11th consecutive month to show an annual net gain.
Visitor arrivals reached 221,200 in August, an August record. A 13% rise in holidaymakers compared with August last year drove the rise, Statistics NZ said.
New routes and the introduction of additional airlines flying between the United States and New Zealand contributed to the increase in visitor arrivals from the US between the August months. In August this year, visitors arriving from the US most commonly lived in California, Texas and New York states.
ASB chief economist Nick Tuffley said annual visitor number growth had slowed to 9% and the trend over recent months had fallen compared with earlier in the year. There were signs of arrivals growth slowing, despite tourism remaining strong.
In the year to August, 3.4million visitors arrived in New Zealand.
China and Australia continued to provide strong numbers of visitors, he said.
