Business confidence slumps to Global Financial Crisis levels

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Confidence amongst Kiwi firms has slumped to levels not seen since the Global Financial Crisis.

The NZ Institute for Economic Research survey also reveals less activity in the past three months.

Source: 1 NEWS

The ANZ Business confidence survey out today shows a net 39 per cent of businesses are pessimistic about the year ahead. 

That amounts to a decline of 29 points on the previous month, and is the lowest level since 2009.

"Uncertainty around changing Government policy, a softer housing market, and difficulty getting credit are likely culprits," ANZ Chief Economist Sharon Zollner said. 

Ms Zollner says the survey is the first received after the final government make-up was decided.

However she says it would too simplistic to ascribe the full move to the change of government. 

She says there is a lot else going on, with softening housing prices one factor that should not be overlooked.

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