Kiwi economists have been skimming around the edges but let's face it! Manufacturers and banks laying off staff and moving production overseas because of the strong Kiwi dollars has hurt the exporters while importers are making the big bucks! Recession is here!
Yesterday ANZ bank announced a big layoff (430) to move some operations off shore. And in Dunedin Fisher and Paykel, a Kiwi icon in whiteware announced that the factory will shut down in the next 6 - 12 months' time moving operations to Mexico, Thailand and Italy where cost of living is lower. Then a wool factory also announced closing down in July, too. For Dunedin, with a population of less than 120,000 of which about 30,000 are from the University of Otago, there will be quite an effect on all the support services so experts put the figure as closer to 2000 jobs will be affected. Fronterra is also shutting down their cheese production (more lay offs) in the North Island and concentrating on milk powder products instead.
With high interest rate, prices of houses had started falling this year, some places more so than others. Prices of food has risen steadily as price of 91 octane petrol is at $1.86 per litre today!
Every week some company is closing shop, some with notice and some without. We're are suffering and in great pain with all this recession! All this was brought down by the artificially inflated Kiwi dollar!
2 comments:
Every where is hyperinflation !
So many price increases, some products compromise in quality or size 1
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