The land of the long white cloud has enjoyed a 10-year economic boom driven by exports of milk, butter and cheese, a population riding a housing market boom and tourists eager to sample the landscapes depicted in Hollywood films such as The Lord of the Rings.

But New Zealand is on the cusp of a downturn and risks seizing the dubious honour from the US of becoming the world’s first developed nation to sink into recession, as measured by two consecutive quarters of negative gross domestic product growth.