Net immigration could hit 50,000: Report

Booming migration is getting the blame for some of the pressure on house prices, particularly in Auckland.

The latest Statistics NZ data showed a 14% year-on-year increase in the number of permanent and long-term arrivals in the June year.

There were 100,800 recorded, the first time the 100,000 mark has been breached.

Migrant departures numbered 62,400 (down 22%). This resulted in a net gain of 38,300 migrants, the highest annual gain since the October 2003 year.

In the latest year, New Zealand had a net loss of 8300 migrants to Australia, well down from 31,200 a year earlier. Net gains were recorded from most other countries, led by India (7000), China (6300), and Britain (5500).

BNZ’s economists said net immigration could exceed Reserve Bank expectations.

“The June MPS, recall, had annual net immigration peaking at 37,000 this calendar year, subsiding to 23,000 next year and 15,000 in 2016. We believe it will be pushing 50,000 this year and will be slow to abate after that.”

But ASB's economists expect migration to slow over the next six months, as things improve for the Australian job market.

They expected it to peak at more than 42,000.