The economy has contracted slightly more than predicted by economists and the banks.

Latest GDP figures from Stats NZ show a 0.6 percent decline in the three months to December and compares to a two percent increase in the three months to September.

Herald Business Editor Liam Dann told Francesca Rudkin if the next quarter is also negative, we could already be in a technical recession.

He says economists often say the "on the street definition" of a recession is people losing jobs, but most people's jobs are still secure.

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