New Zealand retail sales rose more than economists projected in the fourth quarter, signaling the economic recovery maintained its momentum through the final months of 2025. Statistics New Zealand reported the stronger-than-expected performance, which economists had anticipated would show more modest growth.

Retail spending is a key indicator of consumer confidence and economic health in New Zealand. The fourth quarter typically includes crucial holiday shopping months, and the better-than-forecast results suggest households continued spending despite global economic uncertainties. The data points to resilience in the domestic economy as it emerges from previous slowdowns.

This positive retail performance adds to other encouraging economic signals from New Zealand, including improvements in employment and business confidence. Strong retail sales typically translate into higher tax revenues and support for broader economic growth. The sustained momentum through year-end provides a solid foundation for economic activity in early 2026.