Business confidence in New Zealand fell for a third consecutive month, according to the latest National Bank business outlook report released on Wednesday.
There was now a clear change in direction and weakness in confidence was broad-based, the report's authors said.
Overall, a net 28 percent of respondents expect an improvement in business conditions in the year ahead in the July survey compared with 40 percent in the June survey. The February figure of 50.1 percent was the highest reading for business confidence since 1999.
A net 32 percent expected better times ahead for their own business, compared to 39 percent in the June survey.
Employment and investment intentions both fell five points.
There was also a 10-point fall in profit expectations to plus nine. The largest decline was in the agricultural sector, where a net 2 percent now expect a lower profitability this month, compared to a net 15 percent expecting an improvement last month.
The Reserve Bank of New Zealand is due to announce a decision on the official cash rate level on Thursday./.