The University of Otago – Ōtākou Whakaihu Waka made a record contribution of more than $2 billion to the New Zealand economy last year.
The 2024 Economic Impact Report, presented to the University Council this week, uses Otago's annual expenditure, along with the estimated expenditure of its staff and students, to estimate the value it adds to the economy, both nationally and locally.
It shows $2.07 billion in total value was added to the country's economy last year, and 7,954 full-time equivalent (FTE) jobs were supported. This figure includes the downstream value added by the University, staff and student expenditure, less the portion of that expenditure that is not retained in New Zealand.
Vice-Chancellor Grant Robertson says it is the first time the University's contribution to the national economy has exceeded $2 billion.
"We know the University makes such a valuable educational contribution to the country, it is terrific to know it also makes a valuable financial contribution," he says.
"This contribution has a direct impact on local economic development, but the wider flow-on effects are even greater – the institution, our staff and students spend widely with local businesses and contribute to the social and cultural vibrancy of communities."
The University had 18,690 FTE students enrolled last year and is one of New Zealand's largest employers with 4,013 FTE staff employed across Dunedin, Christchurch, Wellington, Auckland and Invercargill.
The greatest impact is felt in Dunedin, where the University contributed and estimated $1.31 billion towards the local economy, which is some 15 per cent of the city's Gross Regional Product.
It is also estimated to have supported 6,259 FTE jobs in Dunedin, which is about 9 per cent of the local workforce. Dunedin is home to about 92 per cent of all students enrolled and 85 per cent of all staff.
Major contributions were also made locally to Christchurch and Wellington, mainly through the University's health sciences-focused campuses in both cities. In Christchurch, the total value added in 2024 was estimated at $88 million and total employment impact of 368 FTE jobs; in Wellington the total value added was estimated at $83 million, and total employment impact of 349 FTE jobs.
Note: The University undertakes an annual assessment of its economic impact, following a standard economic impact methodology, and using independently sourced industry input-output multipliers.
