The New Zealand economy will continue to expand in 2012.
It has now grown in 10 of the past 11 quarters, despite the ongoing European debt crisis, the Canterbury earthquakes and a high exchange rate.
Earthquake damage amounts to about $20 billion – or around 10 per cent of GDP – but rebuilding will stimulate domestic growth.

Our two largest trading partners, Australia and China, are forecast to maintain relatively high growth rates and  demand for our major export commodities from emerging markets is strong.
We are expected to grow more strongly over the next two years than Europe, the United Kingdom, Japan, the United States and Canada.
That has been recognised in recent weeks by some Australian businesses investing here and moving jobs to New Zealand.
Global risks remain and we’re likely to see confidence bounce around for some time. But we are getting there.