New Zealand is in a recession, according to a report published on the 2nd of September by The New Zealand Institute of Economic Research (NZIER).

Based on its own Quarterly Survey of Business Opinion, combined with the March 2008 quarter GDP decline of 0.3 percent, the NZIER claimed that the economy would see decline for the June and September quarters, technically classifying the economic situation as being in recession.

The report went further to say that it appears that is the bottom of the recession cycle, with food and energy prices now lowering. Combined with the October slated tax cuts, the report claimed that private consumption would soon be boosted, although interest rate cuts were not predicted for the foreseeable future.

The report can be seen at the New Zealand Institute of Economic Research website.