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flag New Zealand's economy shrank 0.9% in June 2025, but signs of recovery are emerging amid easing inflation and improving spending.

flag New Zealand's economy contracted 0.9% in the June 2025 quarter, but signs of stabilization are emerging, with resilient exports, improving consumer spending, and easing inflation. flag The Reserve Bank is expected to cut interest rates by 50 basis points in October and another 25bp in November, aiming to boost household spending and investment. flag While housing and labor markets remain weak, business sentiment has modestly improved, and inflation has declined, supporting a cautious recovery outlook.

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