Productivity is being seen as key to improving New Zealand's economy

Gross Domestic Product has dropped by 3.7 percent, mainly due to Covid-19 restrictions in the September quarter.

Otago University economics lecturer Murat Ungor says a rebound's expected in the fourth quarter.

He says short-term fluctuations are part of the game.

But Ungor says the most important thing is to have sustainable long-term, based on high productivity, which is a problem for the New Zealand economy.