Southland Tops Regional GDP Growth to March 2025

Southland had the largest increase in regional gross domestic product (GDP) in the year ended March 2025, according to figures released by Stats NZ today.

Nominal or 'current price' GDP is not adjusted for price effects. This means the statistics do not always represent economic growth but increases in the current level (volumes and prices). Data for the year ended March 2025 is provisional and subject to updates as improvements are incorporated in subsequent years.

GDP increase stronger in the South Island compared with the North Island

GDP rose more strongly in the South Island, up 5.2 percent in the year ended March 2025. This compares with a 2.8 percent increase in the North Island over the same period.

"Auckland, which accounts for 37.5 percent of national GDP, saw a 2.1 percent increase in the year ended March 2025," annual national accounts spokesperson Mark Williamson said.

"Canterbury, including the Chatham Islands, accounted for 12.9 percent of national GDP and increased by 5.3 percent."

Provisional figures show that GDP movements varied widely across the country in the year ended March 2025, ranging from a 0.1 percent decrease in Wellington to a 9.8 percent increase in Southland.

The 9.8 percent increase in Southland was driven primarily by agriculture, particularly dairy farming.

Higher milk-solid prices in 2025 flowed through to the GDP of regions with a higher proportion of dairy cattle farming.

The West Coast, the smallest regional economy, had the next largest increase, up 8.1 percent in the year to March 2025. This was driven primarily by agriculture.

Waikato (up 6.2 percent), and Northland (up 5.9 percent) also benefited from high dairy prices. Both regions also had smaller but significant contributions from health services and rental, hiring, and real estate services.

Southland tops GDP per capita

Southland also overtook Wellington and Auckland to have the highest nominal GDP per capita in the year ended March 2025, at $95,061. This compared with $94,438 in Wellington, $89,521 in Auckland, and $85,095 in Taranaki.

GDP per capita relates a region's nominal GDP - its value-added production - to the number of people in the region. Changes in GDP per capita can occur when a region's nominal GDP increases or decreases, or when its population changes.

"This is the first time since our series began in 2000 that Southland had the highest GDP per capita," Williamson said.