An OECD report on New Zealand's economy puts it near the bottom of the table for innovation, down with countries like Portugal and Greece.(Photo \ Getty Images)

NZ productivity lagging due to lack of innovation - economist

Publish Date: Fri, 16 Jun 2017, 8:17AM

New Zealanders might think we have a reputation for kiwi ingenuity, but international economists say we're slow innovators.

An OECD report on New Zealand's economy puts it near the bottom of the table for innovation, down with countries like Portugal and Greece.

It's been highlighted as a reason New Zealand's overall productivity is lagging.

OECD Chief Economist Catherine Mann told Mike Hosking New Zealand needs to improve the links between research and business.

"The relationship between business, government and universities. That relationship we've found in our research is very important. And it's really not in the picture her in New Zealand."

Mann said this country needs to be investing more in research and development.

"For a small country that really should be focusing on innovation, New Zealand looks pretty bad. It's way down at the bottom with Portugal and Greece, not with Denmark and Norway and Finland.

LISTEN ABOVE AS CATHERINE MANN SPEAKS WITH MIKE HOSKING