It does mean for many people the only way for career growth is to go elsewhere. When I left nz my salary 3x’d.
The opportunity here is that there is many talented tech workers who choose to stay in NZ for lifestyle reasons. Foreign companies can compete so easily on salaries, it’s easy to just buy the top of the market for half the price. You will need local recruitment help though to find them.
The time zones are rough, you need to be a company that’s embraced async working, and are able to give a team a clear brief and just let them do it. But the hiring opportunities are there.