New Zealand’s economy expanded by 2.6% year-on-year in the three months to June 2026, following an upwardly revised 1.7% increase in the previous quarter and exceeding expectations of 2.3% growth. It was the fourth consecutive quarter of annual growth and the fastest pace since Q2 2023, as all sectors expanded. Goods-producing industries expanded faster (4.4% vs 0.1% in Q1), boosted by manufacturing (5.4%), construction (3.7%), and electricity, gas, water, and waste services (3.6%). Service industries grew 2.1% (unchanged from Q1), due mainly to higher wholesale trade (7.4%), public administration and safety (4.0%), retail trade and accommodation (2.6%), and healthcare and social assistance (2.4%). Primary industries also continued to grow (0.3% vs 0.6%), driven by agriculture, forestry, and fishing (1.7%). On a quarterly basis, the economy advanced 0.2% in Q2, slowing from an upwardly revised 0.9% growth in Q1 but surpassing forecasts of 0.1%.