Govt Plan Strikes The Right Balance, Says IMF   3 Apr 2012

Finance Minister Bill English has welcomed the International Monetary Fund’s assessment of the Government’s plan to return to surplus by 2014/15.

In its preliminary concluding statement on New Zealand, published today, the IMF notes the Government’s medium-term deficit reduction plan is aimed at limiting the increase in public debt to guard against future economic risks and contributing to lowering external debt.

“In our view, this strikes the right balance between the need to limit public debt increases, while containing any adverse impact on economic growth during the recovery,” the IMF says.

Mr English says returning to surplus in 2014/15, while challenging, will make an important contribution to reducing New Zealand’s external debt and improving national savings.

“The IMF and others clearly recognise the focus of the Government’s plan in achieving this important goal,” he says

“Getting back to surplus will help create a buffer against future global shocks and, as the IMF notes, it will limit pressure on monetary policy and therefore the exchange rate. This will be important in easing headwinds for exporters and reducing the current account deficit.

“That’s why Budget 2012 will be a zero budget or close to zero, in terms of extra spending over the next four years. We will do that because we need to get back to surplus so we’re not continuing to increase debt.”

IMF report: http://www.imf.org/external/np/ms/2012/040212.htm

(New Zealand Government)

Add a comment

Bookmark and Share

News

Predator Free NZ 2050 to be a massive team effort

25 Jul 2016 Environment
New Zealand Government Hon Steven Joyce Minister of Science and Innovation Hon Nathan Guy Minister for Primary Industries Hon Ma... more

Minister clarifies China trade issue

25 Jul 2016 News
New Zealand Government Hon Todd McClayMinister of Trade 25 July 2016   Minister clarifies China trade issue Trade Minister Todd... more

Business

PM censures Trade Minister for 'head of a pin' answers

25 Jul 2016 Business News By Pattrick Smellie
Article - BusinessDesk Monday 25 July 2016 05:13 PM PM censures Trade Minister for 'head of a pin' answers on China trade ... more

Consultation for FMA, XRB, Companies Office funding

25 Jul 2016 Business News
New Zealand Government   Hon Paul Goldsmith Minister of Commerce and Consumer Affairs 25 July 2016 Consultation for FMA... more

Living

Young New Zealanders Making Films For Good

18 Jul 2016 Lifestyle
The Outlook for Someday Young New Zealanders Making Films For Good What does sustainability mean to you? Since 2007 The Outlook for... more

Review: NZ's Pitch Black - live in London

8 Jul 2016 Entertainment By Charlotte Everett
20 years after their debut at The Gathering, Pitch Black have satiated a packed venue of fans at London’s Oslo, in... more

Property

House prices to peak next year on new supply

25 Jul 2016 Property By Paul McBeth
Article - BusinessDesk Monday 25 July 2016 House prices to peak next year on new supply, lower migration: Infometrics July 25... more

All five leading retail banks require 40% deposit

21 Jul 2016 Property By Fiona Rotherham
Article - BusinessDesk Thursday 21 July 2016 04:55 PM UDATE: All five leading retail banks require 40% deposit from property ... more

Migration

Kiwis could be affected by tighter UK rules

30 Mar 2016 Migration By Audrey Young
British High Commissioner Jonathan Sinclair is defending changes to skilled migrant rules for Britain but suggests they won't affect... more

Immigrants' attitudes to corruption worries SFO

17 Feb 2016 Migration By Sophie Boot
Feb. 17 (BusinessDesk) - New Zealand's record inbound migration has undermined the country's squeaky-clean reputation because of an... more

Travel

NZ guest nights fell in May

12 Jul 2016 Travel & Tourism By Tina Morrison
Article - BusinessDesk NZ guest nights fell in May, snapping 25 consecutive monthly gains July 12 (BusinessDesk) - New Zealand guest... more

China's Tianjin Airlines eyes Auckland service

11 Jul 2016 Travel & Tourism
Article - BusinessDesk Monday 11 July 2016 03:36 PM China's Tianjin Airlines eyes Auckland service By Edwin Mitson July 11... more

Sport

Core group of All Blacks Sevens players re-sign with New Zealand Rugby

25 Jul 2016 Rugby
The core of this year’s All Blacks Sevens squad headed by veterans DJ Forbes and Tim Mikkelson will anchor the side through the... more

Emirates Team New Zealand appoints Southern Spars to build 2017 America's Cup boat

25 Jul 2016 Sailing
Southern Spars today announced it has been appointed to build Emirates Team New Zealand’s boat for the 35th America’s... more

Columns

Gordon Campbell on Tony Blair and the Chilcot Report

7 Jul 2016 Opinion
Column - Gordon Campbell Gordon Campbell on Tony Blair and the Chilcot Report | werewolf more

Gordon Campbell on our refugee response, and a TPP rewrite

14 Jun 2016 Opinion
Column - Gordon Campbell   Gordon Campbell on our paltry refugee response and a brazen US rewrite of the TPP First published at... more

Kiwi Success

New Supreme Court and Court of Appeal appointments

13 Jul 2016 Appointments
New Zealand Government Hon Christopher FinlaysonAttorney-General 13 July 2016 New Supreme Court and Court of Appeal ... more

Awards champion public service excellence

7 Jul 2016 People
New Zealand Government   Hon Paula Bennett Minister of State Services 7 July 2016 Awards champion public service... more

Recruitment

Fletcher chases 100 ex-pat Brits

7 Jul 2016 Recruitment By Paul McBeth
Article - BusinessDesk Fletcher chases 100 ex-pat Brits as construction sector faces capacity constraints July 7 (BusinessDesk) -... more

Zero-hour contracts gone, PPL extended

10 Mar 2016 Recruitment
New Zealand Government Hon Michael Woodhouse Minister for Workplace Relations and Safety 10 March 2016 Zero-hour contracts gone, PPL... more

s