New Zealand's Economy
Ties With Australia
How New Zealand and Australia share a close economic relationship through the 1983 Closer Economic Relations agreement, free movement of people and banks.
New Zealand and Australia are closely linked.
CER
The Closer Economic Relations agreement of 1983 created one of the world’s most complete free trade areas.
Free movement
The Trans-Tasman Travel Arrangement lets citizens live and work in each other’s country.
Brain drain
Many New Zealanders move to Australia for higher wages.
Banks
New Zealand’s largest banks are Australian-owned: ANZ, ASB (CBA), Westpac and BNZ (NAB).
Trade
Australia is a key market for New Zealand goods and services.
A young nurse from Auckland moves to Sydney, attracted by higher pay, without needing a visa.
They are deeply integrated.
- CER in 1983 created free trade.
- Citizens can live and work in either country.
- Many New Zealanders move to Australia.
- Australian banks dominate.
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