BNZ – BusinessNZ
Performance of
Services Index

Solid ground – PSI

15 Dec, 2014

Expansion in the services sector eased during November, although still remains at solid levels, according to the BNZ – BusinessNZ Performance of Services Index (PSI).

The PSI for November was 54.8.  This was 2.2 points down from October, and similar to expansion levels seen mid-way through 2014.  So far for 2014 the PSI has averaged 56.5 (A PSI reading above 50.0 indicates that the service sector is generally expanding; below 50.0 that it is declining). 

BusinessNZ chief executive Phil O’Reilly said that easing expansion levels should not undermine the fact that the sector is still in positive and solid territory.

“While overall activity was not as high as has been seen after three consecutive months of values between 57-58, the sub-indices that underpin the main result are all still positive, along with expansion across the country.

“Overall, given the fact that over 60% of comments received were still along a positive line confirms the sector remains in good heart”.

BNZ economist Doug Steel said, “There have been many drivers of service sector growth through 2014, not least the very strong net inward migration through the year. More people equals more demand.”

Despite the dip in expansion levels, for the sixth month running all five main sub-indices were in expansion.  New orders/business (56.4) led the way in November, although at its lowest result since February this year.  This was followed by activity/sales (55.7), which also dropped below the 60-point level of expansion.  Stocks/inventories (53.3) increased from October, as did employment (53.2).  Supplier deliveries (52.8) decreased 0.3 points, which was all but at the level seen in September.

Activity remained positive throughout the country, although again there were some movements in relation to the previous month.  In the North Island, the Northernregion (55.5) dropped 3.6 points to record its lowest result since June this year, while the Central region (57.1) returned to its level seen in September.  In the South Island, the Canterbury/Westlandregion (56.8) fell slightly from the previous month, while the Otago/Southland region (65.3) did likewise.

The seasonally adjusted BNZ – BusinessNZ Performance of Composite Index or PCI (which combines the PMI and PSI) for November saw the two options for measuring the PCI both dip to almost the exact same level.  The GDP-Weighted Index decreased 3.2 points from October to stand at 54.0, while the Free-Weighted Index (54.1) decreased 3.5 points from October. This put the activity levels of both options roughly on par with the month of May this year.

Click here to view the November PSI & PCI
Click here to view the PSI time series data
Click here to view the PCI time series data
Click here to view the 2015 PMI/PSI release date schedule

For media comment: Phil O’Reilly 04 4966552 or DougSeel 04 474 6923

BNZ - BusinessNZ PSI

Time Series Data

View seasonally adjusted and unadjusted time series data for the BNZ - BusinessNZ PSI

Sponsor Statement

BNZ is delighted to be associated with the Performance of Services Index (PSI) and BusinessNZ.

This association brings together the significant experience of leading business advocacy body BusinessNZ, and business finance specialist BNZ.

We look forward to continuing our association with BusinessNZ and associated regional organisations, and to playing our part in the ongoing development of the New Zealand service sector.

PSI Time Series Table

The results are seasonally adjusted.

BNZ – BusinessNZ PSI Time Series

January 1966 – January 1970

International Results

J.P. Morgan Global Manufacturing PSITM

About the PSI

The BNZ – BusinessNZ Performance of Services Index is a monthly survey of the service sector providing an early indicator of activity levels.

A PSI reading above 50 points indicates service activity is expanding; below 50 indicates it is contracting.

The main PSI and sub-index results are seasonally adjusted.

PSI Releases

Uplift – PSI

Expansion levels for New Zealand's services sector saw a sizeable uplift in August, according to the BNZ - BusinessNZ Performance of Services Index (PSI).The PSI for August was 58.6 (A PSI reading above 50.0 indicates that the service sector is generally expanding;...

Easing off – PSI

Expansion levels for New Zealand's services sector decreased in July, according to the BNZ - BusinessNZ Performance of Services Index (PSI).The PSI for July was 51.2 (A PSI reading above 50.0 indicates that the service sector is generally expanding; below 50.0 that it...

Consistent service – PSI

Activity levels for New Zealand’s services sector in June displayed almost identical levels to last month, according to the BNZ – BusinessNZ Performance of Services Index (PSI).

Upwards momentum – PSI

Activity levels in New Zealand’s services sector displayed upwards momentum during May, according to the BNZ – BusinessNZ Performance of Services Index (PSI).

Evening out – PSI

Activity levels in New Zealand’s services sector during April were almost identical to March, according to the BNZ – BusinessNZ Performance of Services Index (PSI).

BNZ – BusinessNZ
Performance of
Composite Index

PCI Time Series Table

The results are seasonally adjusted.

BNZ – BusinessNZ PCI Time Series

January 1966 – January 1970

About the PCI

The BNZ – BusinessNZ Performance of Composite Index (PCI) takes into account results from both the Performance of Manufacturing Index (PMI) and the Performance of Services Index (PSI). Combined results are shown in two ways:

GDP-Weighted Index:
Apportions the weight of the manufacturing and services index within the economy to produce an overall result.

Free-Weighted Index:
Combines data from both indexes to produce an overall result.

Both time series for the PCI are then seasonally adjusted.

BNZ - BusinessNZ PCI

Time Series Data

View seasonally adjusted and unadjusted time series data for the BNZ - BusinessNZ PCI

Our Contributors

The BNZ – BusinessNZ PSI contains data obtained through BusinessNZ’s regional organisations