The rebuilding of Canterbury dominated economic activity, booking 5.6% growth on a year ago and nationally annual economic growth was up to its highest levels since 2010, ANZ economist Steve Edwards said in a statement yesterday.
''The three Ws led the [quarterly] rise in March. The West Coast, Waikato and Wellington economies all recorded an increase of 3% or more,'' Mr Edwards said.
The South Island and North Island both showed 2% growth, the national measure of quarterly regional economic activity, but Otago was in tenth place out of the 14 regions, recording 1.4% growth. Compared with a year ago, Otago experienced 0.7% growth.
Canterbury was top of the list for year-on-year growth at 5.6%, while for quarterly activity it was rated fourth, with 2.5% growth. Dwelling approvals rose 15% in Canterbury, compared with 2% across the country.
Otago showed strength in most aspects of the real estate market, but retail figures, electronic transactions and business investment undermined those positives.
Mr Edwards said Otago business investment was low, with most still in cost-control mode.
''Hence it is not surprising to note that the number of commercial building consents fell to a new low, down 10% in the three months to March,'' he said.
Otago retail sales fell 0.9% in the March quarter, compared with a 0.5% rise nationally, while electronic transactions were also weaker than the nationwide benchmark, lifting just 0.2%, compared with 0.7% nationally, Mr Edwards said.
Consumer sentiment in Otago rose to a two-year high in March, while business confidence recorded a lift to a 12-month high, with both measures ranked the fifth highest out of the 14 regions monitored, Mr Edwards said. Business confidence ''nudged higher'' in most regions, with Nelson-Marlborough gaining the most.
Otago's real estate market mirrored the nationwide trend during the past three months, with house sales up 2% during the three months to April, reflecting the national increase. Otago's average house sale price rose 4%, outpacing the 3% rise nationally.
''The sale of vacant sections was one point of differentiation, with the number of [Otago] section sales increasing 13% in the three months to April, contrasting a 5% drop nationwide,'' Mr Edwards said.
