Country Overview
New Zealand’s transparent public procurement processes provide favourable conditions for investment in infrastructure projects. This is supported by the ability to easily establish a business, which promotes competition. To encourage investment in infrastructure projects and provide security for investors, New Zealand could improve the liquidity of its financial market and reduce government debt to make financing projects cheaper.
See Full Overview Data
GDP per capita
40,634 USD
Population
5.0 million persons
Infrastructure quality
75.5 (0-100 best)
Infrastructure investment
2.8% of GDP
Private infrastructure investment
565.3 5-year average, USD millions
Infrastructure gap
0.3% of GDP

Driver Overview

This section shows a country’s rank, ranking change and score for each of the eight drivers. It also categorises each country’s driver performance on a scale from “Emerging” (score from 0-20) to “Global Leader” (score from 80-100).

Driver
Rank
Score /100
Emerging Aspiring Contender Top performer Global Leader
- No ranking change Ranking increase Ranking decrease

Rank

Score /100

Best practice

6
1
81.0
Global Leader
16
2
72.2
Global Leader
2
-
94.0
Global Leader
9
1
97.3
Global Leader
11
7
92.7
Global Leader
46
17
30.5
Contender
13
1
71.5
Global Leader
18
1
55.6
Top performer

Metric Overview

Strengths

Transparency in public procurement

New Zealand's public procurement notices are made available online and tender documents transparently detail procurement procedures. The transparency of the process encourages more participation and greater competition, which drive value for money.

Cost to start a business

According to the World Bank, the average cost of starting a business in New Zealand is 0.2% of income per capita, easing the entry of new firms.

Time required to start a business

According to the World Bank, it only takes half a day to start a business in New Zealand, the shortest timeframe of any InfraCompass 2020 country. Shorter times to set up can persuade businesses, including new infrastructure entities, to set up in a country.

Transparency in public procurement

New Zealand's public procurement notices are made available online and tender documents transparently detail procurement procedures. The transparency of the process encourages more participation and greater competition, which drive value for money.

Cost to start a business

According to the World Bank, the average cost of starting a business in New Zealand is 0.2% of income per capita, easing the entry of new firms.

Time required to start a business

According to the World Bank, it only takes half a day to start a business in New Zealand, the shortest timeframe of any InfraCompass 2020 country. Shorter times to set up can persuade businesses, including new infrastructure entities, to set up in a country.

Top Performing Metrics

Top Performing Metrics

This is defined by the metrics with the highest unweighted score out of 100. 

High income country average

Opportunities to Grow

Long term GDP growth trend

Although New Zealand's long-term GDP growth rate has risen to 2.6% from a 20-year low in 2015 of 2.1%, it is still lower than its 20 year average of 3%. Long-term growth rates signal a country’s capacity to fund infrastructure from future growth.

Stocks traded

New Zealand’s value of stocks traded as a share of GDP was 6%, compared to the average of 43% for High Income Countries. As this indicator measures the liquidity of equities, it is important to infrastructure investors to know they can exit investments at appropriate points.

Gross government debt

New Zealand’s gross government debt fell to 29.5% of GDP in 2019, a decline that has continued from a peak of 35.7% of GDP in 2012. Although higher than the 20 year average of 28%, the 2019 figure is still lower than the High Income Countries’ average of 74% of GDP, suggesting capacity to borrow to fund infrastructure.

Long term GDP growth trend

Although New Zealand's long-term GDP growth rate has risen to 2.6% from a 20-year low in 2015 of 2.1%, it is still lower than its 20 year average of 3%. Long-term growth rates signal a country’s capacity to fund infrastructure from future growth.

Stocks traded

New Zealand’s value of stocks traded as a share of GDP was 6%, compared to the average of 43% for High Income Countries. As this indicator measures the liquidity of equities, it is important to infrastructure investors to know they can exit investments at appropriate points.

Gross government debt

New Zealand’s gross government debt fell to 29.5% of GDP in 2019, a decline that has continued from a peak of 35.7% of GDP in 2012. Although higher than the 20 year average of 28%, the 2019 figure is still lower than the High Income Countries’ average of 74% of GDP, suggesting capacity to borrow to fund infrastructure.

Metrics to Improve

Metrics to Improve

This is defined by the metrics with the lowest weighted score out of 100, such that these metrics would have the greatest impact on the overall score.

For metrics that have binary outcomes (yes=100/no=0), no comparative income group average is reported.

High income country average

Funding capacity:
Long term GDP growth trend

Financial markets:
Stocks traded

Funding capacity:
Gross government debt

Detailed Data

This section shows country data for each of the 41 metrics. The figures in brackets denote the change in score since InfraCompass 2017. 

Note that all data has been normalised on a scale of 1-100. For raw metric data, please download the complete InfraCompass 2020 dataset. 

Where relevant, some metric scores have been inverted, such that all metrics have positive relationships with good infrastructure outcomes. For example, since lower compliance costs make it easier to invest in infrastructure, the normalised value of ‘number of procedures to start a business’ has been reversed such that lower number of procedures are scored closer to 100, and higher numbers closer to 0. In other words, a score of 0 indicates a poor performance, rather than 0 number of procedures.

Governance Regulatory Permits Planning Procurement Activity Funding Financial
Driver
Rank
Score /100
Emerging Aspiring Contender Top performer Global Leader
- No ranking change Ranking increase Ranking decrease

Metric

New Zealand

High Income Countries Average

Source Link

28.2%

Recovery rate

The recovery rate is recorded as cents on the dollar recovered by secured creditors through reorganisation, liquidation or debt enforcement (foreclosure or receivership) proceedings.

79.7 (-3.7)
68.3

20.7%

Rule of law

World Governance Composite Indicator reflecting perceptions of the extent to which agents have confidence in and abide by the rules of society, and in particular the quality of contract enforcement, property rights, the police, and the courts, as well as the likelihood of crime and violence. The rule of law reflects whether the law imposes limits of power on the state, private sector and individuals.

87.5 (-1.6)
74.3

18.1%

Post-completion reviews

Whether the country conducts post-completion reviews on infrastructure projects to ensure the forecast outcomes are being achieved.

Yes
-

15.1%

Shareholder governance

Measures the governance practices that protect shareholders through three dimensions: the extent of shareholder rights index (shareholders’ rights and role in major corporate decisions), the extent of ownership and control index (governance safeguards protecting shareholders from undue board control and entrenchment), and the extent of corporate transparency index (corporate transparency on ownership stakes).

50.0
48.1

12.8%

Political stability and absence of violence score

Measures perceptions of the likelihood of political instability and/or politically-motivated violence, including terrorism. Estimate gives the country's score on the aggregate indicator, in units of a standard normal distribution i.e. ranging from approximately -2.5 to 2.5.

75.7 (+0.4)
61.9

5%

Infrastructure or PPP agency

Whether an infrastructure agency exists to coordinate an integrated approach to infrastructure delivery and policy.

Yes
-

New Zealand

High Income Countries Average

79.7 (-3.7)
68.3
87.5 (-1.6)
74.3
Yes
-
50.0
48.1
75.7 (+0.4)
61.9
Yes
-

Country Overview Data

New Zealand’s transparent public procurement processes provide favourable conditions for investment in infrastructure projects. This is supported by the ability to easily establish a business, which promotes competition. To encourage investment in infrastructure projects and provide security for investors, New Zealand could improve the liquidity of its financial market and reduce government debt to make financing projects cheaper.
GDP per capita

40,634 USD

Population

5.0 million persons

Infrastructure quality

75.5 (0-100 best)

Infrastructure investment

2.8% of GDP

Private infrastructure investment

565.3 5-year average, USD millions

Infrastructure gap

0.3% of GDP

GDP

204.7 USD billion

GDP growth rate

2.5%

GDP per capita growth rate

-1.4%

Gross Government Debt

30.0% of GDP

Inflation rate

1.4%

Summary credit rating

93.0 (0-100 best)

Unemployment rate

4.8%

Urbanisation ratio

87.0% of total population

Road connectivity

80.9 (0-100 best)

Quality of road infrastructure

4.5 (1-7 best)

Efficiency of train services

3.9 (1-7 best)

Efficiency of air transport services

5.5 (1-7 best)

Efficiency of seaport services

4.9 (1-7 best)

Electricity access

100.0% of population

Electricity supply quality

7.1% of output lost

Exposure to unsafe drinking water

2.2% of population

Reliability of water supply

6.1 (1-7 best)

Digital Adoption Index

0.7 (0-1 best)

Mobile-broadband subscriptions

114.5 per 100 population

Fixed-broadband Internet subscriptions

34.7 per 100 population