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Te Waka Economic Radar 4 September 2020

While noting the general stabilisation of trends, there remains uncertainty surrounding:

1. How New Zealand and the Waikato region will respond to the end of the wage subsidy scheme, closed 1 September 2020.

2. International Markets – many countries’ health and economic challenges relating to COVID-19 are still developing / at a relatively early stage.

3. COVID-19 Free NZ – Over the past four weeks, NZ has had community transmission in Auckland, which resulted in a second phase of Level 3 lockdown in the Auckland region with the remainder of New Zealand in Level 2. The latest update indicates 115 active cases of COVID-19. All cases are currently linked to the Auckland cluster or in managed quarantine, however the risk of nationwide, uncontrolled community transmission remains.

4. Post Government Survival Investment Stability – Central Government has invested in a number of initiatives to support business survival. Uncertainty remains around the long-term impact/effectiveness of these initiatives.

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