New Zealand growth is set to continue as business confidence remains strong
Manufacturing and agriculture most ambitious industries as gross fixed capital formation is tipped to reach NZD$65 billion
This week Maia Financial launched the first Equipment Demand Index (the Index), New Year, New Growth, for 2018 focusing on New Zealand business sentiment, asset acquisitions and growth, along with a first ever, special Technology edition of the Index, New Zealand and the Industry 4.0 Era.
New Zealand Equipment Demand Index, New Year, New Growth
Results from the research found that export remains a key focus for businesses across the country as demand from overseas continues to grow with a substantial 42.8 per cent of businesses planning to increase their capex.
Reasoning behind the capex increases has found that 31.6 per cent of businesses are looking to expand, while a further 26.6 per cent cite confidence in the economy.
While SMEs and upper corporates are continuing to increase their asset base, lower corporates are not so confident with 37.3 per cent feeling that they will only be “treading water,” this year.
Index Insights, New Zealand and the Industry 4.0 Era
Industry 4.0 technology such as automation, big data, drones and artificial intelligence (AI) also features heavily in the economic landscape with 20.4 per cent intending to implement one of these technologies.
Those in manufacturing and agriculture appear to be undertaking the most transformation and leading the charge adopting Industry 4.0, with the biggest focus in automation (for manufacturers) and drones (for agriculture).
Our first ever special technology edition of the Equipment Demand Index delves into the types of next generation technology New Zealand businesses are investing in as they ramp up production.