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Sound Policy Key to Current Account Deficit

Sound Economic Policy Key to Improving Current Account Deficit

ACT Finance Spokesman Rodney Hide today said that good economic policy was the key to improving New Zealand’s current account deficit.

“It’s important that Dr Cullen and Jim Anderton don’t panic over the current account deficit. The best solution to the current account deficit is sound economic policy. They have got off to a bad start with the hike in tax rates, re-nationalising ACC and re-regulating the labour market. It’s crucial for New Zealand that they do better,” said Rodney Hide.

“In Opposition both Dr Cullen and Mr Anderton would rail against such a result and recommend policies such as tariffs and controls on the free flow of capital in response. Such policies would prove a disaster for jobs and for growth.

Investors are watching Dr Cullen and Mr Anderton very carefully. It’s critical that they prove more responsible in Government than they did in Opposition,” said Rodney Hide.

ENDS

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