Wellington, the capital city of New Zealand, is currently experiencing an economic downturn. Many businesses are struggling to stay afloat, and consumer confidence is plummeting. This is due to the impact of public sector layoffs, which have led to a decrease in people's spending. A resident of the city stated that the overall cost of living "makes it hard" for people to support local businesses. Restaurants are struggling to stay open as the number of customers has decreased significantly. According to the latest data from the Westpac bank, the consumer confidence index in Wellington has dropped from 90.1 in March to 79.3 in June. The city's hotel and retail industries are also feeling the pinch, with sales decreasing by 5.5% in the first quarter of 2024 compared to the same period last year. Meanwhile, the national sales increase was 5.6%. According to an official statement, the public sector has cut a total of 6,377 jobs in Wellington. The city is known for its creative vibe, and hotel and retail jobs are crucial for maintaining this. The CEO of Wellington's Chamber of Commerce, Simon Arcus, expects the city's creative sector to play a crucial role in its recovery. He believes that people will have to learn to spend their money wisely again and adapt to the new economic reality. Despite the challenges, Arcus remains optimistic about the city's future.