New Zealand Sees Highest Emigration Rates in 13 Years Amid Economic Struggles

New Zealand is experiencing its highest emigration levels in 13 years, with more than 71,800 citizens leaving the country in the year ending June 2025. This marks a noticeable increase from the previous year’s total of 67,500. The surge in departures, particularly among younger citizens, underscores growing concerns about the nation’s economic challenges.

According to data released by Statistics New Zealand on Friday, the trend reflects a broader decline in the country’s net migration figures. The number of foreign nationals moving to New Zealand has nearly halved since 2024, contributing to a more pressing migration issue. The population of New Zealand, which stands at approximately 5.3 million, is feeling the effects of an economic downturn that analysts describe as one of the worst since 1991.

The emigration trend is particularly pronounced among the younger demographic. Citizens aged 18 to 30 years constitute about 38% of those leaving, a significant figure although lower than the peak of 60% recorded in 1979. Many young New Zealanders are reportedly seeking opportunities in neighbouring countries such as Australia and Britain, motivated by a combination of rising unemployment and a high cost of living.

In the second quarter of 2025, unemployment in New Zealand rose to 5.2%, reaching its highest level in nearly five years. Data also revealed a decline in the labour force participation rate, which measures the percentage of the working-age population that is either employed or actively seeking work. This rate has dropped to its lowest since the first quarter of 2021, indicating a tightening job market.

To address these challenges, the Reserve Bank of New Zealand has implemented a series of monetary policy adjustments, cutting its cash rate by 225 basis points since August 2024. These measures aim to stimulate the economy, which officially entered a recession last year. There are signs of recovery, however, as gross domestic product (GDP) grew by 0.8% in the first quarter of 2025.

The movement of New Zealand citizens abroad is not just a consequence of economic conditions but also reflects a desire for better job prospects. As Australia actively recruits skilled workers, New Zealanders benefit from the absence of visa requirements for employment across the Tasman Sea. This has led to an increase in relocations, particularly in sectors where Australia faces skill shortages.

In summary, the emigration trend from New Zealand highlights significant economic pressures affecting the nation. With a growing number of young citizens leaving in search of better opportunities, the implications for New Zealand’s demographic and economic landscape could be profound. The government’s response to these challenges will be crucial in shaping the country’s future.