Australian home building consents drop for second month

Wednesday 30th July 2008 1 Comment

Australian home building consents fell for a second month in June, adding to signs that growth in New Zealand's biggest export market is slowing.

Total dwelling permits fell a seasonally adjusted 0.7% in June, following a revised 7.2% tumble in May, the Australian Bureau of Statistics said. A total 12,237 permits were approved last month.

The Reserve Bank of Australia last month kept its benchmark rate unchanged at a 12-year high 7.25% this month and Governor Glenn Stevens said more-expensive credit was likely to result in "a period of significantly slower growth in demand in Australia."

New Zealand's exports to Australia rose 27% in the 12 months ended June 30 to NZ$9.2 billion, accounting for about 23% of the nation's total shipments.

By Jonathan Underhill

Comments from our readers

On 1 October 2010 at 9:55 am Glenn P said:

Australia's economy will slow, and with the currency near parity, this pressure exporters considerably. However, with global demand (mainly China) strong for minerals and fuel, those sectors will continue to perform and keep Australian growth above global trends.