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New Zealand's current account deficit has shrunk to its lowest level since early 2002 owing to slack demand in the global economic downturn, official figures showed Tuesday.
The shortfall in the current account, the broadest measure of a country's trade and investment flows, amounted to 5.7 billion dollars (4.0 billion US) in the year to September, Statistics New Zealand said.
That was down from 15.4 billion dollars in the previous 12-month period and was the equivalent of 3.1 percent of gross domestic product (GDP) -- the annual deficit's lowest percentage ratio since March 2002.
"This is what we would expect given the economic climate over this time," Statistics New Zealand government and international accounts manager John Morris said.
"Company profits are falling, and people are spending less on imports," he said.
New Zealand was in recession from the start of last year until the June quarter when GDP grew by a weak 0.1 percent. Figures for the September quarter are due out Wednesday.
