WELLINGTON (Reuters) – New Zealand is set to record its sharpest quarterly contraction and officially enter recession when it releases second quarter economic data this week, reflecting the full impact of coronavirus lockdowns on business.

The median forecast of economists polled by Reuters showed GDP shrinking 12.8% quarter-on-quarter in the three months to June, following a 1.6% decline in the previous quarter.

That would put New Zealand in its first technical recession, defined as two straight quarters of contraction, since 2010, although an easing in coronavirus curbs has aided a quick recovery. GDP is expect to fall 13.3% year-on-year.

Prime Minister Jacinda Ardern’s government, which faces an election on Oct. 17, has said there will be “large drop” in activity in the June quarter, but that success in suppressing the virus locally is likely to help recovery prospects.

New Zealand was the only country to stay free of COVID-19 for

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WELLINGTON (Reuters) – New Zealand is set to record its sharpest quarterly contraction and officially enter recession when it releases second quarter economic data this week, reflecting the full impact of coronavirus lockdowns on business.



a crane next to a building: FILE PHOTO - Construction workers unload equipment at a building site for a residential apartment block in central Wellington, New Zealand


© Reuters/David Gray
FILE PHOTO – Construction workers unload equipment at a building site for a residential apartment block in central Wellington, New Zealand

The median forecast of economists polled by Reuters showed GDP shrinking 12.8% quarter-on-quarter in the three months to June, following a 1.6% decline in the previous quarter.

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That would put New Zealand in its first technical recession, defined as two straight quarters of contraction, since 2010, although an easing in coronavirus curbs has aided a quick recovery. GDP is expect to fall 13.3% year-on-year.

Prime Minister Jacinda Ardern’s government, which faces an election on Oct. 17, has said there will be “large drop” in activity in the June quarter,

Read More

WASHINGTON — As Nina Red stood under a tree in the New Orleans rain, waiting for two buses that never came, she recalled a feeling of helplessness.

Ms. Red, 69, a resident of the city’s Algiers neighborhood, does not have a car. The bus, which she has ridden for 43 years, is the cheapest way to get around. But since the coronavirus pandemic hit, she has noticed service take a deep dive.

A six-mile trip to the grocery store, which used to take an hour, sometimes takes close to three. Routine doctor’s appointments at 8 a.m. require her to wake up by 5. Many days, buses have skipped her stop without warning. When they do arrive, they are packed, making her worry she is going to be exposed to the coronavirus.

“We’re desperate,” Ms. Red said. “We have no other transportation. If we had an alternative, we would take it.”

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