Category: Business

Source: Radio New Zealand

The jobs market is showing early signs of improvement, according to BNZ, which it said should lead to lower unemployment by the middle of the year.

The latest unemployment statistics are due next week, but the most recent data from the September quarter showed the jobless rate at 5.3 percent – the highest level since late 2016.

BNZ head of research Stephen Toplis said monthly employment indicators showed modest growth, and Stats NZ’s fourth-quarter household labour force survey was also expected to show slight growth.

BNZ’s own employment report with jobs platform SEEK showed job ads up around 7 percent from a year ago.

“It will take a while before the unemployment rate drops, because it’s one thing seeing growth and people being hired, but it’s got to catch up with growth in the supply in labour.”

He expected the catch-up to happen “in a quarter or two”.

“Certainly mid-year, but there’s a difference between better and good,” Toplis said. “For a lot of people who are currently facing unemployment, it’s not clear that the jobs that will be created are going to be consistent with the skillset that they’ve got.”

He also noted there were many households already in work, but looking for more.

“We know that the household sector is struggling, so if you can’t get pay increases you work more hours, so there’s an awful lot of people.”

Economic recovery and weak US currency help Kiwi dollar

The Kiwi dollar is often called the “flightless bird” in financial markets, but its recent performance has been anything but.

Since the start of the year the dollar has flexed its wings, becoming the best-performing major currency against the US dollar.

Westpac head of New Zealand strategy Imre Speizer said the weakness of the US dollar was only half the story behind the NZ dollar’s recent strength.

The recession dampened investor appetite for the NZ dollar, but he said the economy bottomed in October and has improved steadily since then.

“The market has changed its tune on this, and it’s recognised the economic recovery is well in motion, and is likely to persist for the rest of the year,” Speizer said.

“It’s now one of the choice destinations for going long in currencies.”

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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Source: Radio New Zealand

Kiwi Property is selling ASB North Wharf building in Auckland’s Wynyard Quarter to Precinct Pacific Investment for $205 million.

The sale price represented a 3.3 percent discount to the September 2025 book value, and included Kiwi Property’s commitment to complete $2.2m of capital works to the property.

Precinct will be responsible for any additional expenses associated with the extension of the 15-year lease to ASB.

Precinct chief executive Scott Pritchard said the purchase of ASB North Wharf aligned with its strategy for investments in high quality, well located commercial property.

“This is a strong endorsement of the Wynyard Quarter precinct, and we look forward to working with ASB as they refresh their premises to reflect their workforce’s needs,” Pritchard said.

Kiwi Property chief executive Clive Mackenzie said last year’s extension of the ASB lease to 2040 helped to position the asset for sale.

“The sale of ASB North Wharf is a significant milestone for our capital recycling programme and is the third property transaction we have agreed in the last three months,” he said.

“Our balance sheet is now strongly positioned to support growth, aligning with a property market that is showing clear signs of recovery.”

He said the proceeds of would be reinvested into further growth initiatives, including potential acquisitions and development at Kiwi Property’s key mixed-use assets.

Completion of the sale of ASB North Wharf was subject to the consent of the Overseas Investment Office, with settlement expected in the first half of 2026.

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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Source: Radio New Zealand

Cosmetics retailer Mecca is likely to be able to shake off any ill will created by customers disappointed with its loyalty programme and discounting, experts say.

Newsroom reported Mecca was apologising to customers after they were sold products up to a decade old during Boxing Day sales, and an “extra beauty treat” for people who reached a certain level of spending turned out to be a tote bag that transferred dye on to some people’s clothes.

Gemma Rasmussen, spokesperson for Consumer NZ, told RNZ’s The Panel she would not consider a tote bag to be a beauty treat.

“We think Mecca has potentially been a bit misleading and could have breached the Fair Trading Act as well,” she said.

She said Mecca shoppers tended to be “pretty dedicated”. “If you get an email saying spend more, a treat is coming, it’s hooking people in and pretty deceptive marketing.”

Bodo Lang, a marketing expert at Massey University, said reward schemes like Mecca’s could be a powerful driver of customer acquisition and long-term loyalty.

“Which is why so many major retailers invest heavily in them. Think Air New Zealand Airpoints, AA Smartfuel, or loyalty programmes from banks, credit card providers, New Zealand grocery retailers. Even local shops use them to secure a greater share of wallet.

“But when a rewards programme delivers a disappointing experience, especially one that violates basic consumer expectations, such as offering products manufactured more than a decade ago, it can harm brand trust and make shoppers think twice about returning. Trust is hard to build and easy to lose.”

But retail consultant Chris Wilkinson, of First Retail Group, said Mecca’s scheme was strong.

“Mecca’s scheme is a big draw for customers and the brand is well known and enjoyed for its rewards and giveaways – particularly younger consumers who are entering the world of cosmetics and fragrances.

“These schemes, like Farmers Beauty Club, are popular – especially as these products are expensive so any potential saving or ‘value add’ are sought after and often the tipping point in terms of making a purchase.

“Mecca’s scheme introduces new products and playfully encourages its customers to experiment with their beauty regimes – reflective of its predominantly younger audience.”

Wilkinson said its success was noticeable with an expansion of store numbers.

“In all other world markets category leader Sephora ‘owns’ this space, whereas in Australasia, Mecca dominates and Sephora has been retreating.”

He said the value of free gifts in the sector had been a contentious issue for a while.

“However the brand does have some pretty strong goodwill and a store experience that continues to evolve and engage – new stores, new products and ‘hot’ brands like Charlotte Tilbury, so I don’t think goodwill will too badly affected – maybe only till the next ‘freebie’ message arrives in customers inboxes.”

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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Source: Radio New Zealand

A quarter of New Zealand’s peak electricity use could be shifted to times of lower demand, lowering household bills and saving up to $3 billion in infrastructure investment, a new report has found.

The Energy Efficiency and Conservation Authority (EECA), which commissioned the analysis, said lower network costs from shifting demand should flow through to households and businesses.

Households had the most potential to shift their demand, but some industrial processes and manufacturing could also make changes with the right financial incentives, the report found.

New Zealand’s electricity demands will grow by 35 to 82 percent by 2050, the Ministry of Business, Innovation and Employment estimated last year.

Upgrades to accommodate growing demand could cost tens of billions of dollars, EECA chief executive Marco Pelenur said.

The electricity network is built to handle peak demand, which only occurs a few times a day for short intervals. Spreading the power load could help to defer or avoid increasing demand capacity.

“This [analysis] shows we could save billions as a country just by moving when we use power.”

Rooftop solar and batteries could help shift household demand, but much lower-cost measures – that would also save households money – were also available.

That included Wi-Fi-enabled devices that could be retrofitted to most hot water cylinders and heat pumps for a few hundred dollars.

The devices, which are being trialled by EECA in hundreds of households at the moment, allow users to control appliances remotely, such as switching on a heat pump in the late afternoon before peak demand kicks in, so a house could already be warm when people arrive home.

“The early results from the pilots show households are saving on their bills right now – and that doesn’t include the system benefits of deferring network upgrades,” Pelenur said.

Peak demand savings would be even bigger if flexible energy use were enabled at scale, and people were paid directly for shifting electricity use off-peak, EECA said.

University of Auckland professor Nirmal Nair said demand-side flexibility, as proposed in the report, had been “widely touted”, but if households and other retail customers were being encouraged to change their usage, then what they were charged should be revisited.

“Expecting [retail customers] to invest in more technologies to give value to other upstream agents like electricity retailers and distribution companies appears unreasonable, if not unfair.”

Major electricity users surveyed as part of the report said continued production was their top priority, but many were open to more flexible electricity use if it did not disrupt production, or cost more money than it saved.

The report identified food processing in Bay of Plenty, Waikato and North Canterbury, farming in Canterbury and Waikato, and offices in the main centres as having significant potential.

That could be achieved with similar technology to households, such as battery installation and ‘smart load controllers’ to defer electricity usage to lower-demand periods, when it was possible to do so.

The report suggested a “robust reward system” to compensate industries for their participation. That could include direct payments, along with long-term energy cost reductions, it said.

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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Source: Radio New Zealand

Pay-TV provider Sky has expanded its content partnership with US media giant Paramount.

Sky said the partnership would bring premium US drama, procedurals, kids and comedy content to Sky and its Neon streaming audiences.

“Paramount’s Yellowstone was a standout for Sky customers in FY25, and this partnership ensures we build on that success by securing the shows that matter most,” Sky chief executive Sophie Moloney said.

Moloney said the deal represented a “significant step” in its updated entertainment strategy, with data-driven focus on delivering content.

“We know what our customers watch and value, and we’re building on those insights to curate the content that resonates most with our audiences,” she said.

The deal came into effect immediately, and included exclusive access to shows from Showtime, Paramount + and CBS for New Zealand viewers.

Over the past year, Sky announced a number of major content deals, particularly in sports.

In October, it secured exclusive Olympic Games rights, and prior to that it extended its Formula 1 and NZ Rugby deals.

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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Source: Radio New Zealand

The government is spending $1.35 million to see how New Zealand’s expertise in quantum and photonic research can be used to create jobs, attract investment and grow a high-tech, high-value economy.

“It’s huge for New Zealand’s economy and for New Zealand’s future and productivity,” Advanced Technology Institute board member Professor Cather Simpson said, who is also a professor of physics and chemical sciences at Auckland University.

“These things (quantum technology and photonics) are on the verge of allowing us to do everything from diagnose cancer earlier and better, to even being able to predict earthquakes two weeks ahead of time, instead of 30 minutes to an hour.

“And that all comes from being able to measure things like time more precisely — to be able to link things together.”

The funding would be used over the next six months by recently established Institute for Advanced Technology to identify the best way to use New Zealand’s expertise to develop products for the second generation of quantum mechanics, known as Quantum 2.0.

Quantum 2.0

Quantum mechanics has been around for more than a hundred years and used to develop such things as transistors, the Internet, cellular phones and other photonic devices like lasers and sensors.

“And so in the lingo, that’s all called Quantum 1.0. Quantum 2.0 is what we’re on the verge of right now,” she said, adding New Zealand had a lot of theoretical and experimental expertise in the Quantum 2.0 space,” Simpson said.

“And that’s the whole purpose of this public research organisation.

“Quantum is one of the areas that we think has a tonne of potential, because we have this research strength.”

She said the research will look at what it would take to accelerate and apply that expertise.

“I should emphasise that we don’t just have expertise in that laser space. We have expertise in the kinds of cold, single atom types of research that are used to make these next generation clocks and measurements of time and behaviour that will lead us to say better earthquake detection.

“We are starting to see our first patents emerge from this space. And I think we’re right on the cusp of moving into the world economy here.

“And that all comes from being able to measure things like time more precisely. To be able to link things together.”

Quantum 2.0 was expected to see advances in computing, communications and sensing, and offered opportunities to solve complex problems and create secure information systems, advanced materials and ultra-precise measurement tools.

For example, in Australia, quantum gravimeters were recently used to detect subtle variations in the Earth’s gravitational field, leading to mineral discoveries valued at nearly $7 billion (A$6b).

Quantum sensors also made medical imaging much more precise to allow for more accurate surgery and help with the early detection of diseases, such as Alzheimer’s.

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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Source: Radio New Zealand

New Zealanders are booking more international trips than ever, with House of Travel reporting surging demand, shifting destination trends, and a rebound in corporate travel.

The agency said demand for 2026 is its strongest on record, with early bookings rising sharply as travellers lock in trips well ahead of time.

It said forward bookings for the year were at record levels – both in dollars spent and in the total number of travellers.

Chief operating officer Brent Thomas stressed that these trips were “two‑way,” meaning those travellers would return home afterwards.

Australia was the top destination, accounting for half of all bookings.

But Thomas said travel patterns were changing, with more people opting for Asia – where the weaker New Zealand dollar went further – and Europe.

Bookings to the United States had dropped, which he said was “mostly” due to the strong US dollar, making it more expensive to travel there.

Thomas said New Zealanders’ appetite for international travel remained remarkably resilient.

“They have a budget, so when the dollar is down slightly, they may say instead of going for 14 days, they’ll go for 11 – or, as we’re seeing, more are choosing Asia where the dollar goes a little bit further.”

Airlines continued to add flights into New Zealand, giving travellers more choice, which supported booking numbers, he noted.

Thomas said travellers were also booking more than just airfares – they were purchasing “everything” through the agency, including hotels, sightseeing, and cruises, which had grown strongly over the past decade.

Corporate travel rebounds ahead of 2026

Alongside growing holiday demand, House of Travel also saw a rebound in corporate travel – something Thomas described as an “economic canary in the coal mine”.

“Corporate travel is easy to switch off when things are down, but what we’re seeing going into 2026 is that corporates are definitely spending more,” he said.

Thomas said more business travellers were heading overseas, signalling increasing confidence in the economy as companies restarted face‑to‑face visits to reconnect with suppliers and customers.

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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Source: Radio New Zealand

Some of New Zealand’s least generous savings accounts are paying as little as 0.05 percent in interest.

A survey of bank rates showed the main banks have a number of products that offer very little return.

ASB’s Savings On Call account offers 0.1 percent.

ANZ has a Select account that pays 0.05 percent on balances over $5000 – there is a monthly account fee of $6 but that is waived if the monthly balance remains over $5000.

Westpac’s Simple Saver pays 0.05 percent – customers are sent “nudge” emails if they have higher balances to remind them of other options.

Co-Operative’s Smile On Call account pays 0.1 percent to balances over $4000.

Reserve Bank data shows the average rate across the market for unconditional savings accounts is just over 1 percent.

New Zealanders have almost $120 billion in savings accounts, a total that has increased over the past year.

Squirrel chief executive David Cunningham has previously said that people leaving money in low-paying accounts provide a lucrative income stream for the banks.

Banking expert at Massey University Claire Matthews said she had money in a Westpac Simple Saver account.

“I’ve just realised at the weekend how low the interest rate is. It changed substantially over 2025 as the OCR was cut and interest rates fell. I’m going to fix that shortly.”

Financial Markets Authority research showed across all age groups, people said that the highest interest rate was the most important factor in choosing a savings account.

But for those aged 65 to 74, the stability of the rate and how easy it was to access savings were equally important.

The FMA said the self-reported importance of finding a high interest rate peaked in midlife and declined thereafter as people began to attach more importance to other factors.

Lower-income earners also placed more importance on the ability to access savings than the rate they were getting.

The self-reported importance of a high interest rate increased with income, to a point, while the importance of access declined with income.

But Matthews said there could be a few reasons why people did not look for a better deal.

“Speaking personally, it is inertia – as far as I’m aware you can’t now open a Simple Saver with Westpac, so I don’t believe anyone would be actively choosing it. It’s possibly the same with similar accounts at other banks.

“So I think for most people it is likely to be historic, and they either haven’t looked at what interest rate they are receiving and the options available or they just haven’t worked up the energy to make a change.”

Infometrics chief executive Brad Olsen said people might like the security of knowing they could access their money easily.

“People are clearly sometimes willing to compromise returns for access.

“There’s a wider conversation – people often talk about the lazy tax and how there’s all these people who pay the lazy tax because they don’t move their bank account, they don’t move their power bill or don’t move their internet or whatever. In dollar terms I completely understand it, but as someone who’s also tried to adjust some of these settings myself – it can sometimes take so much time.”

He said it could sometimes take a lot of effort to make a change.

Olsen said he kept some money in an account he was aware paid little interest.

“It’s a pretty small amount and so it is one of those things that it’s pretty minimal given I keep that as a bit of as emergency fund if I have to up and do something right now it’s always available.

“But if you’ve got half your savings or something in it and you’re hoarding that to buy a house or whatever and it’s not getting any interest, what’s the point there?”

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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Source: Radio New Zealand

WorkSafe says it will be looking into the organisations that had a duty of care for everyone at the Mt Maunganui holiday park, but for now the priority is on the recovery efforts.

Recovery work resumed at the site of the Mount Maunganui landslide on Monday, where six people remain missing following Thursday’s landslide.

The victims have been named as Lisa Anne Maclennan, 50, Måns Loke Bernhardsson, 20, Jacqualine Suzanne Wheeler, 71, Susan Doreen Knowles, 71, Sharon Maccanico, 15 and Max Furse-Kee, 15.

A WorkSafe spokesperson told RNZ they were in the “very early stages” of assessing what their role may look like once the search and recovery phase was complete.

“We are currently bringing together a team of inspectors and will be working closely with New Zealand Police to determine next steps.

“We will be looking into the organisations that had a duty of care for everyone at the holiday park, and whether or not they were meeting their health and safety responsibilities.”

Do you know more? Email sam.sherwood@rnz.co.nz

Currently, the focus needed to remain on the recovery efforts, the spokesperson said.

“When the time is right, our inspectors will begin engaging with witnesses and technical experts, and gathering evidence from a range of sources including the organisations involved in the operation of the holiday park and the scene.

“In the meantime, our local inspectors have also extended an offer of support to Emergency Management Bay of Plenty and other agencies to ensure that workers involved in the response are kept safe and healthy.”

Prime Minister Christopher Luxon told Morning Report he supported Tauranga City Council’s decision to conduct a full, independent review into the landslide.

“There’s lots of concerns that people have about why they weren’t evacuated sooner. I think they are very legitimate, very good questions that need answers.”

He says the council, which is leading the review, was the right organisation to address those questions.

– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand

Source: Radio New Zealand

An Auckland bakery has stopped selling a popular pie after Auckland Council said the horse meat used wasn’t cleared for human consumption.

Before Christmas, Pakuranga Bakery started selling lo’i hoosi pies and promoting them on their Instagram page.

Lo’i hoosi is a traditional Tongan dish and has horse meat as the main ingredient.

The horse pie proved extremely popular, drawing rave reviews on social media.

When First Up initially contacted Pakuranga Bakery last week, they said they were no longer selling the pie.

Veronica Lee-Thompson, Auckland Council manager of specialist operations, licensing and environmental health, revealed why. She told First Up that Council had received a complaint and sent inspectors to investigate.

“There were horse meat pies that were being sold and the horse meat was not from a registered supplier,” she said.

“But the operator was very cooperative and agreed to dispose of all the horse meat on site and any pies that contained any horse meat.”

Pakuranga Bakery manager Pho Bok said the bakery was buying the lo’i hoosi already prepared.

“We just bought the filing, because I just saw everyone do it and all the customers have been asking for it. We don’t know how to make it. We just went to buy the filing from a Tongan guy. He just prepared it for us and we just chucked it in a pie”

It’s perfectly legal to eat horse in New Zealand, but to sell it it for people to consume it must be processed according to New Zealand food safety regulations.

According to the Ministry of Primary industries there is only one meat processor registered to slaughter and process horse meat for human consumption in New Zealand.

“Illegal meat could contain bacteria because the animals were sick or potentially diseased, risk of cross-contamination if there’s unhygienic conditions during the processing, they might not be handling things correctly, Lee-Thompson said.

“It could be contaminated by chemicals.

“We just want to make sure it’s approved meat that’s in our food chain.”

There had been no reports of sickness from Pakuranga Bakery’s pies, Auckland Council said.

Bok said he believed the horse meat he used was legitimately sourced.

“I did ask them are they a registered business – they said yes. Is the horse meat legal to eat, and they said yes.”

Pakuranga Bakery is not under investigation, but New Zealand Food Safety is investigating the source of the horse meat.

Anyone found to have knowingly prepared or sold meat unfit for human consumption can face a fine of up to $100,000 or up to a year in prison.

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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand