Manufacturing sector recorded growth first time since April 2008 according to the Performance of Manufacturing Index (PMI) released by BNZ capital. The PMI index for September stood at 51.7, indicating the expansion of sector by successfully mitigating the impact of global slowdown.

Four out of five indices registered growth as New Order took the lead standing at 56.3, the highest level since November 2007. Other indices such as production, employment, delivery and furnished stock too reported growth and stood at 51.6,
51.2, 51.1 and 44.4 respectively.

BNZ Capital economist Mark Walton added, "Australia is still growing as our biggest export market, and is leading the pack of developed countries out of the recession - with GDP growth that has remained in positive territory throughout."

Index for Otago/Southland stood at 58.7 while northern region too came out of trouble expanding to 52.8. Central region, on the other hand, declined to 50.7 against its level in the previous month of August.

Walton informed that currency fluctuations should not be generalized as exporters are paid in different currencies. He added, "We must remember that not all of our exporters are paid in US dollar; and the TWI (trade weighted index) masks the fact that exchange rates have moved in some exporters."