Tauranga business leaders say the recession may technically be over but are warning it's not time to pop the champagne yet.
The government has released Gross Domestic Product figures showing New Zealand's economy grew by 0.1 per cent in the June quarter – an indicator touted by some economists as a sign the recession is over.



Priority One CEO Andrew Coker is warning caution though because the margin of error could mean New Zealand is still in negative growth.
'I think we've just got to look at what is happening here. What has carried us through this recession is the export sector and infrastructure spending.
We also have a large number of employees involved in central and local government in the Bay, which are largely unaffected by recession,” says Andrew.
He says the region has experienced extreme population growth and any level of decline was going to impact the construction sector first, followed inevitably by the retail sector.
'Our export sector and infrastructure spending has been strong. Work in the delivery of infrastructure will continue with the construction of the Tauranga Eastern Link and a number of other key developments such as the Sport and Exhibition Centre, Harbour Central Marine Precinct and a research and technology park at Sulphur Point,” says Andrew.
Chamber of Commerce CEO Max Mason says people can now technically say we are no longer in a recession.
'However, it may flatten, and some commentators are saying it could be a W-shaped recovery, thus it may dip again,” says Max.
But he says it is still a symbolic milestone for the Western Bay of Plenty that means economic activity is on the up.
'One of the drivers for the recent economic growth is migration, which is good for our traditional industry of residential construction.
Also increased agricultural prices mean more confidence in rural spending, which is good for us,” says Max.