New Zealand jobless rate could hit 13% even if lockdown ends next week, modelling suggests

Treasury modelling shows unemployment could ease to 8.5% with a larger fiscal stimulus

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New modelling from the Treasury has painted a dire picture of New Zealand's economic prospects for the next year, with a surge in unemployment to as much as 13% even if Covid-19 infections are contained and lockdown rules eased after the initial four weeks.

A jobless rate of up to 26% - and a fall in GDP of 23% - is predicted if the country is forced to remain in its strictest level of shutdown for a total of six months before moving to marginally lighter measures.