New Zealand Building Permits issuance declines -1.9% in April

New Zealand issued -1.9% fewer Building Permits in April than the previous month's -0.2% decline. 

Stats NZ noted that the actual number of new dwellings consented during the year ended April 2024 was 35,401, down 23% from the same time last year.

According to Stats NZ, "The number of new dwellings consented per 1,000 residents across New Zealand was 6.7 for the year ended April 2024, compared with 8.9 in the year ended April 2023. The record number of new dwellings consented per 1,000 residents was 13.4 in the year ended December 1973."

Stats NZ also noted that investment in non-residential buildings fell 1.2% for the year ended April, with office space and administration declining -10% to $1.6 billion, while hospitals and healthcare rose 6.3% to $1.5 billion YoY in April.

Market reaction 

The Kiwi is trading tightly just above the 0.6100 handle as NZD traders gear up for the latest NZ Budget Release, with Reserve Bank of New Zealand (RBNZ) Governor Adrian Orr expected to deliver talking points early Friday.

About New Zealand's seasonally-adjusted Building Permits

The Building Permits s.a. released by the Statistics New Zealand show the number of permits for new construction projects. It is considered as a leading indicator for the housing market. The more growing number of permits, the more positive (or bullish) for the NZD, while a low reading is seen as negative, or bearish.