Budget 2004: Attracting quality investment to NZ
10 May 2004 Media Statement
Attracting quality investment to New Zealand
The Strategic Investment Fund is to receive additional operating funding of $4.025 million a year starting in the 2004-2005 financial year commencing on July 1, Industry & Regional Development Minister, Jim Anderton, said today.
This is an increase of 100 per cent on present funding and will assist Investment New Zealand to attract high quality investment to New Zealand.
Mr Anderton announced the new funding at a press conference detailing a number of Budget 2004 initiatives designed to accelerate investment and strengthen New Zealand's connections with the world.
"Expanding Investment New Zealand's investment attraction work is a vital ingredient in the coalition government's efforts to promote economic and social development.
"We want new investment in sectors of the economy that offer high quality job opportunities for New Zealanders.
"We want new investment in New Zealand-based enterprises that have the potential to widen, deepen and expand New Zealand's export base in order to enhance the social and economic future of all New Zealanders," Mr Anderton said.
Governments around the world seek to attract additional foreign direct investment in order to improve the living standards of their people.
New Zealand has one of the most attractive overall business environments for investment in the world, but "good fundamentals" alone are not sufficient to attract the quality and quantity of new investment that a small, open economy like New Zealand's needs.
The Strategic Investment Fund (SIF) is Investment New Zealand's principal investment facilitation programme. Its main purposes are to attract investment, by contributing part of the costs associated with establishing the feasibility of an investment, and to facilitate investments, while at the same time better enabling New Zealand to benefit from those investments.