New Zealand is recording its highest rate of citizen departures in more than 10 years, with young adults driving the trend amid rising unemployment and a sluggish economy.
Statistics New Zealand data released Friday shows 71,800 citizens left the country in the year to June 2025, up from 67,500 the previous year and just short of the record 72,400 in February 2012. People aged 18 to 30 accounted for 38% of those departures.
The outflow comes as the country endures one of its deepest economic downturns since 1991, with economists citing weak productivity and policy missteps. Unemployment hit a near five-year high of 5.2% in the second quarter, while labour force participation fell to its lowest level since early 2021. Net migration has also dropped sharply, with foreign arrivals nearly halving from 2024 levels.
The Reserve Bank of New Zealand has cut its cash rate by 225 basis points since August 2024 to stimulate growth following last year’s recession. GDP rose 0.8% in the first quarter, but job prospects remain scarce and living costs high.
Many departing New Zealanders are moving to Australia, Britain, and other destinations, with Australia attracting the most migrants through relocation packages to address skill shortages. New Zealand citizens can work in Australia without visas, making the move easier.
While the share of young emigrants remains below the 1979 peak of 60%, analysts warn the current trend could accelerate if economic conditions fail to improve.