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Extent of Foreign Direct Investment in New Zealand % of GDP $ Millions 120,000 90% Change in methodology after March 2000 100,000 75% 80,000 60% 60,000 45% 40,000 30% Foreign Direct Investment ($ million) - left axis Foreign Direct Investment as % GDP - right axis 20,000 15% 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996 1995 1994 1993 1992 1991 1990 0% 1989 0 March year Source: International Investment Position, National Accounts - Statistics New Zealand 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996 1995 1994 1993 1992 1991 1990 1989 1988 1987 1986 Overseas ownership of the NZ Sharemarket 70% 60% 50% 40% 30% 20% 10% 0% Foreign investment in New Zealand equity (shares) compared to value of all local equity $ million 350,000 70% 300,000 60% 250,000 50% Right-hand scale 200,000 40% Foreign owned as % value total privately owned equity 150,000 30% Foreign owned as % value of total equity 100,000 20% Private New Zealand owned Government owned 50,000 10% Foreign owned 0 0% Source: Non-official estimates provided by Statistics New Zealand New Zealand's wealth Including overseas investment by NZ residents $ million market value $ million $1,600,000 $1,400,000 $1,200,000 $1,000,000 Foreign investment in New Zealand Government net worth $800,000 Net household financial wealth Owner occupied housing and land $600,000 $400,000 $200,000 $0 2001 2003 2005 2007 2009 2011 2013 2015 Source: Statistics New Zealand, Treasury and Reserve Bank of New Zealand Value and numbers of overseas investments approved Source: OIO $ Billions $25 Threshold rose from $10m to $100m, August 2005 Numbers of applications approved 250 Gross value of consideration Net Investment Number of approvals - right side $20 200 $15 150 $10 100 $5 50 $0 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Source: Overseas Investment Commission and Overseas Investment Office Land sales to overseas investors approved, 2001-15 Source: OIO Hectares 700,000 600,000 500,000 Gross interests in land Net interests in land 400,000 300,000 200,000 100,000 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Source: Overseas Investment Commission and Overseas Investment Office Estimated overseas ownership of farmland At least 8.7% of land under farming or 1.3 million hectares 5.0% 4.5% 4.0% 3.5% 3.0% 2.5% 4.4% 2.0% 1.5% 2.2% 1.0% 0.5% 1.0% 1.0% 145,000 hectares 145,000 hectares 327,000 hectares 635,000 hectares Freehold Other interests Freehold Other interests 0.0% Agriculture Forestry Source: Calculations by Bill Rosenberg using data from Overseas Investment Commission and Overseas Investment Office and Statistics New Zealand Overseas ownership of New Zealand companies by country, March 2015 China, People's Republic of, $654m Cayman Islands, $1,102m Switzerland, $472m Norway, $190m France, $163m Other countries, $4,269m Ireland, $1,947m Virgin Islands, British, $3,043m Netherlands, $3,429m Total = $99,599m Canada, $3,967m Japan, $4,817m Australia, $51,441m Singapore, $5,178m United Kingdom, $5,426m Hong Kong (SAR), $5,546m United States of America, $7,955m Source: International Investment Position, Statistics New Zealand Overseas ownership of New Zealand companies by industry, March 2015 Transport, postal, and warehousing, $287m Administrative and support services, $245m Financial and insurance services, $32,108m Construction, $451m Accommodation and food services, $782m Total = $99,599m Suppressed or unallocated, $16,554m Health care and social assistance, $1,826m Information media and telecommunications, $2,261m Mining, $2,271m Professional, scientific, and technical services, $2,782m Rental, hiring, and real estate services, $3,944m Manufacturing, $14,728m Electricity, gas, water, and waste services, $4,725m Wholesale trade, $4,983m Retail trade, $5,743m Agriculture, forestry, and fishing, $5,909m Source: International Investment Position, Statistics New Zealand Profits and other investment income leaving New Zealand $ million 22,500 Total Investment Income Exports of Dairy and Forest products Profits of overseas owned companies Exports of Milk Powder plus Seafood 20,000 17,500 15,000 12,500 10,000 7,500 5,000 2,500 0 1989 1994 1999 2004 2009 2014 Investment income and the current account deficit 0 -2000 1989 1994 1999 2004 2009 2014 -4000 -6000 -8000 -10000 Banking income contribution to current account deficit -12000 Deficit on Investment Income -14000 Current Account Deficit -16000 Sources: Balance of Payments, Key Statistics Table 7.04 - Value of principal exports (excl re-exports) - Statistics New Zealand Employment by overseas companies in New Zealand Employees 2,500,000 25% Number of employees in overseas companies Total number of employees Percentage of employees in overseas companies (right hand scale) 20% 1,500,000 15% 1,000,000 10% 500,000 5% 0 0% Percentage of employees in overseas companies 2,000,000 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Source: Business demography statistics, Statistics New Zealand Overseas Debt as percent of GDP 1989-2015 Note that some data is available only from 2001 140% Derivatives 130% 120% 110% 100% 90% Gross Bank Debt 80% Total net debt without reinsurance 70% 60% 50% Gross Private Debt 40% 30% Gross Other Corporate Debt 20% 10% Gross Government overseas debt 0% -10% Net Total Debt Net Private Debt Net Government Debt Source: International Investment Position, National Accounts - Statistics New Zealand