New Zealand retail sales have risen more than expected, as vehicle sales increase at the fastest pace in two years.
The volume of retail sales rose a seasonally adjusted 1.2 per cent in the three months to June, from an upwardly revised 0.8 per cent in the first quarter, according to Statistics New Zealand.
That’s more than the 1 per cent expected in a Reuters poll of economists. Actual sales were up 3.8 per cent in value from the same quarter in 2013, better than the 3.4 per cent estimate in the Reuters survey.
Retail sales are increasing amid upbeat consumer confidence in an expanding economy.
The NZ Reserve Bank in July said the economy is expected to grow at an annual average rate of 3.7 per cent this year, from a 2.9 per cent pace in 2013.
The New Zealand dollar climbed to 84.85 US cents from 84.62 cents immediately before the numbers were released.
“The motor vehicle and parts retailing industry has driven this quarter’s increase in both sales volumes and values, recording their largest increases in two years,” Statistics New Zealand business indicators manager Neil Kelly said on Wednesday.
Motor vehicle and parts retailing volume increased 3.6 per cent and sales value gained 2.9 per cent.
Other industries which posted large volume gains in the quarter included accommodation, up 6 per cent, electrical and electronic goods retailing up 2.9 per cent and food and beverage sales up 2.7 per cent, Statistics NZ said.
The industries with the largest falls in the quarter were fuel, down 3.3 per cent, and clothing, footwear and accessories retailing, down 2.2 per cent, the agency said.
BusinessDesk
