New Zealand is outrageously beautiful. Having visited there before, I was blown away by the beauty of this archipelago nation. Not only is the nation geographically stunning, but I also found the people to be extremely warm and inviting. It seemed like the ideal place to live and raise a family.
The air is clean. The food was fresh and delicious, and outdoor adventure was at your fingertips; however, in this video by Economics Explained, we learned that New Zealand’s population is falling, with people leaving the island for better opportunities abroad.
Below we have outlined some of the reasons people are leaving one of the most picturesque places in the world.
High Emigration of Skilled Workers: Kiwis, especially young professionals, are leaving in droves with per capita outflows rivaling those from conflict zones; population growth relies on immigration to fill gaps.
Unique Economic Structure: As a small, remote economy, NZ struggles with global competitiveness; industries are limited to those that must be local (tourism, agriculture, housing, regional services), as alternatives are cheaper/scalable in Asia or easier in nearby hubs like Singapore/Sydney.
Agriculture’s Role: Highly productive (fertile land, water, tech) for exports like off-season foods to Asia, but mechanized operations require few workers and don’t attract educated urbanites.
Housing Market Dominance: Real estate (selling, renting, building, financing) accounts for ~50% of GDP, driving unaffordable prices; policies like banning foreign buyers (except Australians, the top foreign group) had minimal impact, as domestic and Aussie demand persists.
Reasons for Leaving: Not just housing—emigrants seek broader opportunities in Australia’s larger cities (e.g., specialized jobs, more universities, medical training); close political/legal ties (EU-like freedom to live/work) and cultural/linguistic similarities make the move easy and low-friction.
Reversing the Trend’s Difficulties: Politically challenging (expat voters oppose restrictions); geopolitically tied to friendly Australia-NZ relations; economically, many return later with skills/capital; tightening borders risks backlash.
