The latest KPMG Growth Promise Indicators (GPI) index ranks New Zealand 9th for our productivity potential, against a total of 180 countries surveyed.
The index finds that New Zealand has maintained its 9th position from last year, with a score of 7.9 out of 10 placing
New Zealand just behind Finland, Norway and Sweden, and ahead of Canada, Germany, Ireland and the UK.
Quality institutions and human capital earn high scores
New Zealand achieved its highest scores for ‘Quality of its institutions’ and ‘Human capital’.
“Factors such as regulatory quality, transparency of government policymaking, business rights and relatively low levels
of corruption are key contributors to our high scores in these areas - 8.61 and 8.20 respectively,” says Souella
Cumming, KPMG Partner. New Zealand also benefits from a stable, well developed education system and relatively higher
life expectancy.
But more work needs to be done
However, New Zealand’s growth potential continues to be hampered by poor performance in ‘Openness’ when it comes to
foreign direct investment (FDI) and total trade, and macro-economic stability. The GPI Index report also shows that New
Zealand needs to do more when it comes to the quality of its infrastructure.
“A key contributor in driving our growth is the Government’s Wellbeing Budget, with its intent of tackling long-term
challenges such as child poverty, mental health, and homelessness, while maintaining fiscal responsibility,” says
Souella. “Plans to transform New Zealand’s Education system and focus on infrastructure are also critical to ensure New
Zealand’s resilience and long term sustainability.”
About KPMG New Zealand
KPMG New Zealand is part of is a global network of professional services firms providing Audit, Tax and Advisory
services.
We’re committed to fuelling New Zealand’s prosperity – for the benefit of all New Zealanders - helping New Zealand’s
businesses grow and succeed, the public sector to achieve more, and our communities to prosper.
KPMG New Zealand works closely with the public sector, and understand the unique nature and challenges the public sector
faces. Our clients include public services entities, state services and state sector organisations, and organisations
operating in the wider public sector.
The independent member firms of the KPMG network are affiliated with KPMG International Cooperative (“KPMG
International”), a Swiss entity. Each KPMG firm is a legally distinct and separate entity and describes itself as such.