Parliament

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 

Growth forecasts take another drop down


Bill English National Finance Spokesman

14 June 2001

Growth forecasts take another drop down

The latest NZIER forecasts confirm National's prediction that the Government's growth and fiscal view is more optimistic than its policies can deliver, National's Finance spokesman Bill English said today.

"For some time now I have been predicting that economists would start revising down their growth and operating balance forecasts, and revising up their debt forecasts. Here's the evidence.

"Growth for 2002, picked at 3.5 percent in the 2000 Budget and revised down to 2.6 percent by Treasury, has taken a further hit, down to 2.3 percent in the NZIER forecast. This reflects the likelihood of slowing world demand, with domestic growth just managing to pick up the slack from weaker exports.

"NZIER is forecasting that the surpluses over the next three years will be $2.4 billion lower than Treasury was picking.

"The result of those lower surpluses is that NZIER is forecasting net debt to be at 20 percent of GDP by 2005, compared to Treasury's forecast of 18 percent.

"The lower forecast growth profile would also mean a smaller improvement in the current account deficit. Treasury was picking 3.5 percent of GDP; NZIER is forecasting 5.3%.

"Every time these forecasts are revised downwards, so is Dr Cullen's credibility as a prudent fiscal manager.

"The Budget revealed Dr Cullen is going to ioncrease Government debt. This forecast signals that the increase in Government debt is likely to be substantial" Bill English said.

Ends

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Crowdsale And Crowdfunding Campaign: Help Create The Future Of Independent News

Two weeks to go! The Scoop 3.0 plan aims to create NZ’s first community-owned, distributed news and media intelligence ecosystem in 2019. We believe this ScoopPro media monetisation approach can be scaled and spread globally to support local and independent news efforts in regional New Zealand and around the world.

Scoop is an ecosystem, it would not exist without those who contribute to it, read it and rely on it for professional media purposes. Generous past support from this ecosystem has enabled us to come this far in developing our business model. Support our PledgeMe Campaign>>

 

14/11: Two Years’ Progress Since The Kaikoura Earthquake

Mayor John Leggett said it was a day for reflection, but also a time to recognise the work by many people to support progress towards recovery made across Marlborough since November 2016. More>>

ALSO:

Pike River: Mine Drift Re-Entry Plan To Proceed

“I’ve decided the Te Kāhui Whakamana Rua Tekau Mā Iwa - Pike River Recovery Agency, recommended course of action to enter the drift, using the existing access tunnel, is by far the safest option,” said Andrew Little. More>>

ALSO:

Appointments: New High Commissioner To Australia Announced

“Dame Annette King needs no introduction given her long running career as a parliamentarian where she has previously held a number senior Cabinet portfolios, including Justice, Police and Health. She also was Parliament’s longest serving female MP with 30 years’ service,” said Mr Peters. More>>

ALSO:

Two Years Since Kaikoura: Silvia Cartwright To Lead Inquiry Into EQC

“The inquiry will be the first of its kind under the Public Inquiries Act 2013 and will have all the powers of a Royal Commission, be independent of Government and make its report directly to the Governor-General. More>>

ALSO:

Gordon Campbell: On The Royal Commission Into Child Abuse

Obviously, it is good news that the coalition government has broadened the scope of its Royal Commission into the abuse of children, beyond its previous focus on children in state care. More>>

ALSO:

Cases Delayed: Court Staff Refuse To Handle Sentencing Papers

Dozens of court cases have reportedly been delayed, as court staff escalate industrial action at two Auckland courts by enforcing a ban on handling sentencing papers. More>>

ALSO:

Education: Primary Teachers Rolling Strikes

RNZ Report: More than 100,000 primary school students in Auckland will be home from school today as teachers and principals walk off the job for the second time this year. It's the start of a week of rolling one-day strikes around the country, after the collapse of contract negotiations last Thursday. More>>

ALSO:

"Process Was Sound": Inquiry Into Haumaha Appointment Released

The Inquiry’s purpose was to examine, identify, and report on the adequacy of the process that led to the appointment. It found the process was sound and no available relevant information was omitted. More>>

ALSO:

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels