Otago-Southland's service sector maintained a better ranking than the New Zealand average, as wet weather took its toll across the country in July.
The overall activity in Otago and Southland's services sector for July was at 57.4 points, which was the same as the average for the past year, Otago Southland Employers' Association chief executive Virginia Nicholls said yesterday.
``Tourism, along with the businesses providing services to the sector, were positive, although a few were affected by the wet weather,'' she said.
Points above 50 reflect expansion, and below, contraction.
Nationally, the BusinessNZ-BNZ performance of services index slipped 2.3 points since June to 56 in July - its lowest level since April.
The sector accounts for about two-thirds of the economy.
BusinessNZ chief executive Kirk Hope said despite the dip in national expansion, July's main result was clearly above the long-term average for the survey, and showing solid expansion.
``Looking at comments from respondents, a number of negative comments centred on wet and wintry conditions hampering business activity, although almost 60% still outlined positive comments,'' Mr Hope said.
Mrs Nicholls said the Otago-Southland sub-category breakdowns were all positive, with supplier deliveries at 65, orders/new business at 62.5, stocks/inventories at 60, employment levels at 54.2 and activity/sales levels at 50 points
``It's encouraging to see orders/new business so positive, and employment levels in expansion.
While comments from local respondents reported the school holiday trade was positive, the weather had a negative effect on some businesses,'' she said.
The food retail trade reported a general increase in sales and business supplying services to the construction industry also had a positive month, she said.
