New Zealand’s GDP grows at fastest pace since 2008

New Zealand’s economy grew by 2.5 % in the year ending December, the highest annual GDP growth since the global recession began in March 2008, according to figures released Thursday by Statistics New Zealand .Farmers and economists, however, are predicting a drought this year in the country’s North Island could reduce economic growth by about 1 % due to decreased output from dairy, beef and sheep farms.Statistics New Zealand estimated the economy grew 1.5 % in the final quarter of 2012 thanks to increased household spending and increased investment in farm and business equipment. Figures showed there were big gains in agriculture, forestry and fishing, as well as retail trade and accommodation.Manufacturing was down half a % in the quarter