Economy – RBNZ Governor discusses impact of Middle East conflict on NZ economy

Source: Reserve Bank of New Zealand (RBNZ)

24 March 2026 – The Reserve Bank of New Zealand (RBNZ) is well positioned to handle the challenges to our price stability and financial stability mandates caused by the ongoing conflict in the Middle East, Governor Anna Breman says in a speech published today.

“We are likely to see higher headline inflation over the near term, and somewhat weaker growth momentum,” Governor Breman says.

In the speech, Global shockwaves to Kiwi shores: The impact of the Iran conflict on New Zealand, Governor Breman acknowledged the uncertainty and hardship that many households and firms are experiencing at this difficult time.

“There is a risk that global financial stability risks could emerge and affect the cost and availability of funding for New Zealand banks. However, recent stress testing suggests that banks are resilient with strong capital and liquidity buffers, and are well-placed to weather severe geopolitical shocks.”

Governor Breman also set out the framework that the Monetary Policy Committee (MPC) will use to assess the appropriate monetary policy response to the effects of the conflict in the Middle East on New Zealand's economy.

“Getting this judgement right is key to avoiding reacting too early to near-term inflation pressures that monetary policy can do little about – or reacting too late if above-target inflation becomes embedded in the economy,” Governor Breman says.

“Most importantly, monetary policy can and should ensure that a temporary inflation spike does not turn into enduring inflationary pressures. The Committee will be vigilant to this risk.

“The best contribution that monetary policy can make to the wellbeing of New Zealanders is to deliver low and stable inflation over the medium term.”

More information

Download the speech – Global shockwaves to Kiwi shores: The impact of the Iran conflict on New Zealand: https://govt.us20.list-manage.com/track/click?u=bd316aa7ee4f5679c56377819&id=71bf51470e&e=f3c68946f8
April 2026 Monetary Policy Review and OCR: https://govt.us20.list-manage.com/track/click?u=bd316aa7ee4f5679c56377819&id=5a0b9e5b9e&e=f3c68946f8

Defence News – Emotional return to Tokelau for Royal New Zealand Navy sailor

Source: New Zealand Defence Force (NZDF)

Returning to her spiritual home of Tokelau was a profound experience for Petty Officer Christina Sola, who visited the island while on deployment with the Royal New Zealand Navy (RNZN) during the recent Operation Calypso in the South West Pacific.

New Zealand-born, but of Tokelauan, Samoan and New Zealand European descent, Petty Officer Sola reconnected with whānau when HMNZS Canterbury arrived in Tokelau.

Incorporated in the operation was the celebration of the centenary of New Zealand’s administration of Tokelau and on board the ship for the occasion was New Zealand Governor-General Dame Cindy Kiro.

“To step ashore alongside my shipmates, and on this occasion in the presence of the Governor‑General Dame Cindy Kiro, was an immense honour and a moment of profound personal and cultural significance,” Petty Officer Sola said.

“Tokelau is my tūrangawaewae – a place where I feel grounded spiritually, mentally and physically. It is sacred and treasured land, richly woven with history, culture and tradition. Each time I arrive, it instantly feels like home.”

Petty Officer Sola’s Tokelauan family hails from Fakaofo atoll. Her husband Penehe, also of Tokelauan descent, comes from the atolls of Nukunonu and Atafu. They have four children and she credits her husband’s unwavering support for being able to continue doing the job she loves in the Navy.

The communications warfare specialist enlisted in 2008 and has worked across a wide range of operational and leadership roles supporting New Zealand’s defence and security efforts, both at home and around the world.

She last visited Tokelau in 2020 during the Covid-19 pandemic. Petty Officer Sola said the situation was entirely different then and the stakes couldn’t have been higher.

“Canterbury was tasked to deliver routine cyclone season support and essential supplies. This included new freshwater tanks, solar equipment, generator maintenance, and most importantly, Covid-19 vaccination supplies.

“Tokelau had no recorded cases of Covid-19 at the time and there was a very real possibility that, if we were not careful, we could have been the ones to introduce the virus to a population of fewer than 1,500 people.

“I was incredibly grateful that our deployable teams completed the mission without any incident and I was still able to see my family, while not touching one another to keep the strict two-metre distancing policy in place.”

This recent arrival was very different from the last, with loved ones from both her own and her husband’s family welcoming her across the three Tokelauan atolls.

“These are moments I will cherish forever. I will always acknowledge the sacrifices they have made – and continue to make – so that our families around the world can pursue opportunities and lives abroad, including those of us living and serving in Aotearoa, New Zealand.”

Petty Officer Sola’s career has seen her sail from the sub-Antarctic to the Pacific, across to Asia and over to the United States.

As part of the Navy’s extensive operation to the South-West Pacific and alongside the Tokelau centenary visit, HMNZS Canterbury crew facilitated an upgrade of critical tsunami and volcano monitoring equipment on Raoul Island, and conducted a successful search and rescue operation near Tonga.  

With New Zealand Army and Royal New Zealand Air Force personnel aboard, the military sealift vessel covered 4580 nautical miles, without the ship needing to take on additional food or fuel over 23 days.  

Politics and Health – ACT should leave nursing to professionals and medical evidence – NZNO

Source: New Zealand Nurses Organisation

The ACT Party should leave nursing to the professionals and medical evidence, NZNO says.
Tōpūtanga Tapuhi Kaitiaki o Aotearoa NZNO Kaiwhakahaere Kerri Nuku says ACT MP Todd Stephenson has dismissed the Nursing Council’s draft code of conduct – which proposes strengthening cultural safety, whānau-centred care and te Tiriti o Waitangi obligations – as political ideology.
“This is not political ideology. It is evidence-based health care which has been proven to be the key to lifting health outcomes for Māori.
“ACT should leave nursing to professionals and medical evidence,” Kerri Nuku says.
“Culturally safe care reduces health inequities, keeps more Māori out of hospital by helping identify the risk of preventable illnesses and enabling early intervention, and saves the health system money – something dear to the ACT Party,” she says.
“Todd Stephenson wants health care based on need not race. There can only be equal health care if there are equal health outcomes. Māori life expectancy is seven years lower than non-Māori and Māori are more likely to suffer heart disease, cancers, diabetes and mental health issues.
“Many Māori fear hospitals and the health system, which has been found to be systemically racist. Without culturally safe health care, Māori will continue to suffer poorer health outcomes and lead sicker and shorter lives than other New Zealanders.
“As well as the devastation to lives and whānau health and wellbeing, it costs Aotearoa more in the long run,” Kerri Nuku says. 

Economy – Canterbury goes back-to-back in ASB’s latest Regional Economic Scoreboard

Source: ASB

  • South Island continues to hold strong with Canterbury outperforming the rest of the country
  • Otago and Waikato coming in second place equal
  • Auckland shows promising signs of improvement, jumps to fourth place
  • Wellington remains under pressure, finishing last place.

Canterbury continues to shine in ASB’s Regional Economic Scoreboard, finishing 2025 as New Zealand’s strongest-performing region as signs of economic recovery broaden across the country.

ASB’s Regional Economic Scoreboard shows Canterbury secured its third quarterly win of the year, outperforming the country across nearly every key measure the bank tracks including employment, retail spending, housing activity and population growth.

ASB Chief Economist Nick Tuffley says the South Island continues to lead New Zealand’s multi‑speed recovery.

“Canterbury has delivered back‑to‑back wins to close out the year, supported by strong dairy incomes, steady jobs growth, resilient consumer spending and the recovery of the tourism sector. The region enters 2026 in a very strong position,” says Nick.

Otago and Waikato tied for second place, with Otago buoyed by a strong tourism recovery and Waikato benefiting from its robust primary sector and improving labour market conditions. We expect the incoming Fonterra capital return to be a further boost for our Dairy farming regions via more spending and investment.

Auckland climbed to fourth place, recording improvements in retail spending, construction activity and consumer confidence, although labour market conditions in the city remain subdued.

“Seeing Auckland continue to improve is an important signal that the economic upswing is widening beyond the regions that led earlier in the cycle,” says Nick.

At the other end of the rankings, Wellington finished last, reflecting ongoing weakness in the housing market, construction activity and discretionary spending, despite relatively strong employment growth.

“Looking ahead, Wellington’s economy is forecast to recover, supported by low interest rates. Nevertheless, ongoing and emerging challenges may temper the pace of that recovery.”

Nationally, the economy showed signs of growth toward the end of 2025. Retail spending lifted strongly across most regions, supported by lower interest rates, while employment indicators showed early signs of stabilisation. However, ASB economists caution that global uncertainty remains a key risk.

“Conflict in the Middle East presents fresh headwinds, particularly through higher energy costs and inflation risks. The situation and extent of any impact to growth and inflation is highly uncertain and will depend on how long the conflict goes on for,” says Nick.

Results in a snapshot

About the ASB Regional Economic Scoreboard

The ASB Regional Economic Scoreboard takes the latest quarterly regional statistics and ranks the economic performance of New Zealand's 16 Regional Council areas. The fastest growing regions gain the highest ratings, and a good performance by the national economy raises the ratings of all regions. Ratings are updated every three months, and are based on 11 measures, including employment, construction, retail trade, and house prices.

 

The full ASB Regional Economic Scoreboard, along with other recent ASB reports covering a range of commentary, can be accessed at our ASB Economic Insights page: https://www.asb.co.nz/documents/economic-insights.html

Aged Care Assn: If we can fund EV chargers, why can’t we fund aged care beds?

Source: Aged Care Association

This week’s announcement that Government-backed loans will support the rollout of another 2,500 electric vehicle charging points across New Zealand is, in many ways, good news.
As an EV owner, I welcome the continued investment in infrastructure that supports the transition to a lower-emissions future. It is practical, forward-looking, and demonstrates that when Government identifies a priority, it can move with pace and purpose to enable private investment.
But it also raises a difficult question.
Why can we move quickly to support the infrastructure needed for vehicles, but not for the infrastructure needed to care for our ageing population?
For the past two years, the Aged Care Association has been calling for the establishment of a dedicated infrastructure fund to support residential aged care providers to upgrade facilities and build new beds, particularly for older New Zealanders who rely on superannuation or modest fixed incomes.
We are not asking for anything extraordinary. We are asking for recognition that aged residential care is essential health infrastructure.
New Zealand’s population aged over 65 is growing rapidly. At the same time, much of our aged care infrastructure is ageing, with a significant proportion of facilities more than 20 years old. Capacity is already constrained in many parts of the country, particularly for standard beds and specialist care such as dementia and palliative services.
This is not a future problem. It is happening now.
As the daughter of an 85-year-old, I think about this not just as a sector leader, but as a New Zealander. If my parent, or yours, requires hospital care, we expect that care to be available. But hospitals rely on the ability to discharge older patients into appropriate residential care. When there are no beds available, those patients remain in hospital longer than they need to, placing pressure on the entire health system.
This is where the issue becomes urgent.
A lack of residential care beds is not just an aged care issue – it is a hospital flow issue, an equity issue, and ultimately a system sustainability issue.
An infrastructure fund would allow providers, particularly not-for-profit and community-based organisations, to upgrade ageing facilities, expand capacity in areas of need, and build the types of services our communities require. It would support older people to remain closer to home and whānau and ensure timely access to appropriate care.
Importantly, this is not about replacing private investment. It is about unlocking it – just as the EV charging initiative does – by providing the confidence and support needed to invest in areas where returns are lower but social need is high.
We have seen that Government can act decisively when it chooses to. The question now is whether it will apply that same urgency to the infrastructure that supports our most vulnerable citizens.
Because at some point, this will matter to all of us.

Health – Record-breaking drug consumption shows, yet again, a new approach is needed

Source: NZ Drug Foundation Te Puna Whakaiti Pāmamae Kai Whakapiri

New data showing record-breaking cocaine consumption is just the latest evidence that the country’s drugs approach is failing, the NZ Drug Foundation says.

New wastewater testing data released by Police today shows cocaine consumption surged nationwide to an all-time high in Q4 2025, exceeding MDMA consumption for the first time. Meanwhile, methamphetamine consumption remained stubbornly high following a doubling in the second half of 2024. (ref. https://www.police.govt.nz/about-us/publication/national-drugs-wastewater-testing-programme-quarter-4-2025 )

“Cocaine consumption has been increasing since mid-2022. Cocaine carries increased risk of a few harms, including increased addiction and overdose,” says Drug Foundation Executive Director Sarah Helm.

The data is a stark illustration that we have our policy settings wrong.

“The dramatic increases in methamphetamine and cocaine consumption over the last two years are unprecedented,” she says.

“A long-term under-investment in treatment and harm reduction, coupled with an over-reliance on supply side measures hasn’t worked,” says Helm.

“Consumption is at record levels, drug use is diversifying, prices are down, harm is increasing, and new potent drugs are arriving. Every indicator is screaming at us to change our approach,” Helm says.

Helm says new interventions announced last week in the Government’s Action Plan to Prevent and Reduce Substance Harm will go some way to responding to the increase in harm, but a more fundamental shift is needed.

“If we could wave a magic wand, we would do two things: vastly increase the spending on addiction treatment and harm reduction, and change our drug laws. While these things won’t remove all problems, the evidence is clear that it would reduce the worst harms and provide us with more tools to tackle the increase in harm. But if we continue doing more of the same, things will continue to get worse,” says Helm.

Helm says the Drug Foundation's report Safer Drug Laws for Aotearoa NZ provides a template for reform. (ref. https://drugfoundation.org.nz/topics/policy-and-advocacy/safer-drug-laws )

Health – New partnership targets long-term GP workforce sustainability through international recruitment

Source: Royal NZ College of General Practitioners

Health New Zealand | Te Whatu Ora and the Royal New Zealand College of General Practitioners (RNZCGP) have announced a partnership focused on increasing the number of international GPs coming to New Zealand, to join our local GP workforce.
The partnership reflects a shared commitment to strengthening New Zealand’s GP workforce by making it easier for international doctors to understand the roles, pathways and support available to them.
General practice offers a career with real impact combining clinical autonomy, professional development and strong community connection. The campaign positions New Zealand as a destination where doctors can practise high-quality, specialist medicine while enjoying a world-class lifestyle and a health system built around teamwork and continuity of care.
RNZCGP plays a key role in this partnership, supporting high-quality general practice through training, standards and advocacy.
Together with Health New Zealand the campaign reinforces a coordinated, long-term approach to international recruitment that supports workforce sustainability across both urban and rural communities.
College President Dr Luke Bradford says the initiative comes at a critical time for the workforce.
“New Zealand needs more skilled GPs. These stories show the professionalism, purpose and privilege of delivering continuity of care in our communities from major centres to the most remote parts of the motu.”
Astuti Balram (Acting Director- Living Well) says “Health NZ is about the whole health system – not just specialist hospital services. We are delighted to be working with the college to attract more UK trained doctors to become NZ GPs.”
“GPs are central to high-quality primary care, and we need to continue to grow our workforce by recruiting local and international doctors. This work sits alongside our initiatives to strengthen primary and rural care, including funding up to 50 New Zealand-trained graduate doctors a year to train in primary care settings.”
The campaign, launched today, includes a new suite of resources and video testimonial stories aimed at attracting international doctors to work in Aotearoa.
The campaign highlights what overseas doctors can expect when working in community-based medicine offering practical insights into day-to-day clinical work, workforce pathways and lifestyle opportunities across both urban and rural settings.
Developed in alignment with Health New Zealand’s international recruitment programme, the resources are designed to support growing international interest in community-based specialist roles within a team-focused health system. 
More information:
The video campaign can be viewed below:
Health NZ is also progressing a range of initiatives as part of the Primary Care Tactical Action Plan (PCTAP) to strengthen the GP workforce including:
  • Funding 100 overseas-trained doctors already living in New Zealand to begin work in GP practices over the next two years.
  • Funding up to 50 New Zealand-trained graduate doctors a year to train in primary care settings.

Activism – Still waiting for Luxon to condemn illegal war, as government further aligns with US and Israel

Source: Peace Action Wellington

Date: Saturday 21 March 2026 – “The people of New Zealand continue to await political leadership from Christopher Luxon regarding the US and Israel’s illegal and aggressive
war on Iran. Instead, today he has issued a statement condemning Iran because it will cost us more for oil. It is frankly astonishing that he blames Iran for defending itself while being on the receiving end of US and Israeli bombs and missiles,” said Valerie Morse of Peace Action Wellington.

“The Israelis just bombed the Iranian Pars gas field – the single largest natural gas field in the world. Last week, the US bombed Tehran’s oil refinery, resulting in black smoke choking the city and acid rain falling. Where was Luxon’s condemnation of those actions?”

“To assign blame to the Iranians for hitting oil and gas infrastructure and shutting down the Straits of Hormuz while steadfastly ignoring those who are entirely responsible for this horror – the US and Israel – requires a complete inversion of reality and complete abandonment of any political principles.”

“That Luxon and his Coalition partners are craven lackeys of the United States and Israel comes as little surprise to those of us on the front lines of the pro-Palestine movement. We have watched for two years while Luxon and his coalition mates have been complicit supporters of the most grotesque genocide of 70,000 people.”

“This war will not end anytime soon unless Trump decides to pull the US out, which is the only sensible course of action. He and Israeli Prime Minister Netanyahu have seriously underestimated the Iranian government. Instead what we are likely to see is a widening of this war with much more death and destruction.”

“The pain New Zealanders will feel at the petrol pump is the fault of the US and Israel. Luxon would do well to align his statements with the facts, not the fantasies of the criminal leaders of rogue states.”

University Research – Brain scientist knows the value of hope – UoA

Source: University of Auckland – UoA

A rising star in brain research, Dr Molly Swanson has recently been granted $877,000 for research into motor neurone disease.

Dr Molly Swanson’s experience of mothering a child with a life-threatening condition fuels her passion for researching brain diseases.

The scientist from University of Auckland’s Centre for Brain Research has a two-year-old son, James, who has a rare genetic disorder, LCHADD.

“My son’s condition has changed my perspective on research.

“I want him to have a good life and that’s what I hope for everyone I do my research for.

“I want people with degenerative brain disorders and their families to see that people are working towards healing their disease and to have hope,” says Swanson.

The 32-year-old is a rising star in the brain research field.

She recently received nearly $517,000 from Auckland Medical Research Foundation and $360,000 from the Marsden Fund for research over the next three to four years on motor neurone disease.

Her “synergistic” research projects will look at a genetic form of the disease and types that strike people with no family history of the disorder.

Motor neurone disease affects about three in 100,000 people in New Zealand. About 150 New Zealanders a year die of the disease, one of the highest mortality rates in the world.

As the name of the disorder suggests, it causes the death of motor neurons, which are responsible for movement.

Early symptoms include finding it hard to lift your feet or grip objects with your hands. As the disease progresses, patients can suffer difficulty moving, breathing and swallowing.

To try to find a way to slow the progression of the disease, Swanson is looking at immune cells in the brain called microglia, which typically help heal brain injuries and diseases.

Her groundbreaking research has shown microglia suffer something akin to caregiver fatigue – they suddenly turn toxic and start having a harmful impact on motor neurons.

She will zero in a tiny, but “bossy” molecule in microglia that appears to be responsible for making the helpful cells flip into toxic mode.

By snipping out a section of DNA in microglia, she hopes to delete the code that creates the bossy molecules that spark the harmful change.

“We want to reverse the changes in microglia and restore them to their helpful function,” she says.

If the experiment proves effective, she will start searching drug libraries for a medicine that produces a similar result.

This drug could be used alongside other treatments that are being developed to stop the disease killing motor neurons.

“Even if you make the neurons healthy again, the microglia are still toxic, so you need therapies for both.”

Swanson, the team of Centre for Brain Research pharmacologist Dr Amy Smith and PhD student Sonalani Shandil were the first in New Zealand to grow microglia in the lab from stem cells.

The pluripotent stem cells, which can become nearly any cell type in the body, are derived from human skin and blood samples. These have been donated by patients who have a genetic mutation associated with motor neurone disease and by healthy controls.

Human brain tissue donated to the Neurological Foundation Brain Bank and a London brain bank have also been vital for Swanson’s research.

“Brain tissue is the most precious resource, because it’s the actual disease in humans, not a model.

“But lab-grown microglia have the advantage of showing the disease in action.

“They allow us to see how microglia change over time and what occurs when they flip from helpers to harmers.”

Swanson has organised events to give people with motor neurone disease a chance to talk with scientists about what they want from research.

“There’s something beautiful about meeting the people the research is for.

“It makes it more human and reminds you why you’re doing it.”

ChildFund – Water at risk in Middle East War – on World Water Day

Source: ChildFund New Zealand

ChildFund New Zealand is warning that escalating global conflict is no longer just driving up fuel prices – it is putting children’s access to clean water directly at risk.
Today Iran announced its plans to target desalination plants and critical infrastructure in response to President Trump's threat to 'obliterate' power plants if the Strait of Hormuz does not open.
Today is World Water Day.
Water infrastructure – including desalination plants, pipelines and treatment facilities – are increasingly being hit as strategic targets in conflict.
“Access to water is getting caught up in this war. When oil prices surge, most people think about petrol. Few think about water,” says ChildFund NZ CEO Josie Pagani.
Water systems run on energy. When fuel prices spike – or when infrastructure is directly threatened – the cost of pumping, treating and delivering water rises immediately. In vulnerable communities, there is no buffer.
In many of the communities where ChildFund NZ works, access to clean water depends on pumps powered by fuel. 
“This is true in the Middle East, and in the Pacific where we have many water projects that still rely on fuel.”
When water systems become unreliable, families are forced to turn to unsafe sources. Waterborne diseases spread more easily. Girls are pulled out of school to collect water. Household income is diverted to cope with illness or to buy water.
“Both children living in warzones, and children living thousands of kilometres from a battlefield, are impacted, ” says Josie Pagani.
ChildFund NZ is urging all parties in conflict to recognise water systems as critical civilian infrastructure and ensure they are protected from attack.
In a video shared today, CEO Josie Pagani highlights that children – even in the Middle East – are more than 20 times more likely to die from a lack of clean water than from a bomb, underscoring the critical but often overlooked role water plays in conflict.
“Access to clean water should not be weaponised in war.”
Donate to ChildFund NZ’s Middle East Appeal to support local partners delivering urgent water, food and shelter on the ground.