New Zealand has been in its worst recession for decades, following tough measures in response to the Kovid-19 pandemic.

From April to June, the country’s GDP fell by 12.2 percent.

This is New Zealand’s first recession since the global financial crisis and the worst since 1987.

But the government hopes its contagious response will quickly recover.

About five million people in the country are briefly declared virus-free, although there are still a few cases but only 25 deaths.

The economy is likely to be a major issue in late next month’s elections, following an unexpected rise in Kovid-19 cases in August.

Paul Pascoe, a spokesman for statistics, said the measures, which have been in place since March 19, have had a significant impact on some sectors of the economy.

Industries such as retail, accommodation, restaurants, and transportation have been hit hard by a sharp drop in production, which has been directly affected by international travel bans and severe lockdowns nationwide.

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The government of Prime Minister Jacinda Arder has said that success in suppressing the virus will help the recovery chances.

Finance Minister Grant Robertson said the GDP figure was better than expected.

“Going harder and earlier means we can come back faster and stronger,” he said.

Some economists also predict a speedy recovery because of New Zealand’s strong response to the virus.

Westpac senior economist Michael Gordon said there would be a record increase in the September quarter after the GDP record collapse in the June quarter.

But treasury forecasts released yesterday indicate that massive debt and persistent disruptions will delay full recovery.

The opposition National Party blamed the lack of pragmatism, which made it worse than necessary.

New Zealand recorded a steeper decline than its neighbor Australia, which has a lower lockdown.

But the state of Victoria faces a second lockdown, which could affect Australia’s economic recovery.