22 April 2009

Emigrating to New Zealand popular during financial crisis

The statistics showing numbers emigrating to New Zealand have been released by Statistics New Zealand this week, showing the strongest two-month net inflow for six years.

While the numbers of people emigrating to New Zealand increased over this period, with an inflow of 7,500 in the March 2009 year, the greatest difference seemed to be the numbers of permanent departures – those leaving last month reached 1100 fewer than the monthly average calculated over the past year.

UBS economist Robin Clements predicts that the net inflow will increase as a result of a greater interest in emigrating to New Zealand during the economic crisis, particularly from Britain and the United States, because of its likelihood of weathering the storm better than other economies.

Deutsche Bank chief economist Darren Gibbs also said that net migrant inflows are likely to continue in this trend because of New Zealand's low nominal exchange rate compared with weaker international economies, as well as the deepening recession in New Zealand's key trading partners.

According to the NZ Herald, the population increase from New Zealand migration is hoping to provide a much-needed boost to the flagging construction industry, as more people permanently staying in the country would put pressure on housing construction.

"Over time, if history is any guide, strengthening migrant inflows will play an important role in reinforcing what is likely to be a strong recovery in housing activity (as unlikely as that may seem at present given the weak state of the domestic economy)," said Mr Gibbs.

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The New Zealand Visa Bureau is an independent consulting company specialising in helping people with emigrating to New Zealand.