After a long downturn, sectors like hospitality are seeing some light at the end of the tunnel. Service sector back in growth for first time in almost two yearsAfter a long downturn, sectors like hospitality are seeing some light at the end of the tunnel. Photo / NZMEThe services sector has experienced an expansion for the first time since February 2024, according to the latest BNZ–BusinessNZ Performance of Services Index. The Performance of Services Index (PSI) for December was 51.5 (a PSI reading above 50.0 indicates that the service sector is generally expanding; below 50.0 that it is declining). The service sector includes parts of the economy like retail, hospitality, real estate and information technology (IT).

Source: New Zealand Herald January 20, 2026 09:14 UTC