NZ Economy Beats Expectations Despite Sluggish Growth Due to External Factors

New Zealand's economy expanded more than anticipated in Q2, despite sluggish growth due to external factors. The country's GDP rose by 0.2% quarter-on-quarter, surpassing analysts' expectations of a 0.1% increase and the Reserve Bank of New Zealand's forecast of no growth.

The year-over-year GDP growth was more substantial, at 2.6%, beating market expectations of a 2.2% rise.

The strong performance is notable given the ongoing Middle East conflict, which has driven up oil prices and created economic uncertainty. This external headwind has weighed on New Zealand's economy.