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


New Zealand economy going nowhere

David Cunliffe
Economic Development Spokesperson

12 April 2012

New Zealand economy going nowhere

Latest data shows New Zealand’s economy is still struggling to claw its way out of an extended rut, Labour's Economic Development spokesperson David Cunliffe says.

“Statistics NZ today revealed total electronic card transactions are down 0.2 per cent and tourism guest nights are down 2 per cent, with international arrivals down in both Islands, reflecting four straight years of decline for tourism receipts.

“On top of that the NZ Institute of Economic Research published its highly regarded Quarterly Survey of Business Opinion (QSBO) this week. That showed a ‘crab-like recovery’ of an economy ‘going sideways’,” David Cunliffe said.

"NZIER's findings are disturbing. Trading activity of firms is flat - at 0 per cent - and there has been no acceleration in the recovery over the last nine months.

"There is a worrying absence of business investment. Investment intentions are down in line with capacity pressures. This is hardly surprising with an exchange rate that is consistently overvalued and the lack of a credible government economic growth plan.

"At the same time there are predictable but mounting labour and housing shortages in Canterbury, which alongside the standoff between EQC and insurers, is hugely debilitating for the earthquake rebuild.

"Business and Economic Research Ltd’s (Berl) latest forecasts show the economy is ‘in a holding pattern at best, or at worst a double dip recession’. They warn of a ‘two speed economy’ with declining export performance, falling commodity prices and tourism receipts and further delays in Christchurch; offset against a rent-driven housing surge in Auckland.

"Isn't this precisely the kind of rollercoaster the government said it would get us off?

"New Zealand needs a credible plan for growth and jobs that builds on our unique natural resource base and talented, innovative people," David Cunliffe said.

"Three and a half years into this sorry Government and Kiwis are still waiting for one.”


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines


Minister of Finance: Plan Shows $100 Billion Infrastructure Projects

Finance Minister Bill English has today launched the Government’s Ten Year Capital Intentions Plan (CIP) which shows a pipeline of $100.9 billion worth of infrastructure projects over the next decade. More>>


Werewolf: Safe Landings Gordon Campbell on the safety challenge to the Wellington runway extension.

The safety-related legal challenge revolves around the size of the 90 metre long Runway End Safety Area (RESA) being proposed for the runway extension. More>>


Environment Commissioner: We Need To Work Together On Climate Change And Farming

“The debate around agricultural emissions and the ETS has been polarised for too long,” said the Commissioner. “But the ETS is not the only way forward – there are other things that can be done.” More>>


NZ Super Fund: Seeking To Put A Market Price On Climate Change

Oct. 19 (BusinessDesk) - The New Zealand Superannuation Fund says it will devise a set of rules to assess investment winners and losers under climate change, a strategy that could rule out fossil fuels or producers such as current portfolio member Exxon ... More>>


Rejuvenation: Parata Will Not Contest 2017 Election

Education Minister and National List MP Hekia Parata has today announced that she will not be contesting the next election. She advised the Prime Minister of her decision earlier this year. More>>

Prisons Grow: Government Approves Plans For Increased Prison Capacity

Despite significant progress in reducing crime the number of prisoners has increased faster than projected. This is because the proportion of offenders charged with serious crimes has risen, meaning more people are being remanded in custody and serving more of their sentences in prison. More>>


Gordon Campbell: On Plastic Bag Activism, And Street Harassment

Amusing to see the Act Party experiencing another outbreak of young fogey-ism. What has aroused the ire of Act Leader David Seymour this time is the introduction of a Greens private members bill to the ballot process, calling for a 15 cents levy on plastic bags to reduce pollution. More>>


Unclear Weapons: US Navy Ship Cleared To Visit NZ For Navy's 75th

United States Navy ship, the USS Sampson, has been given clearance to visit New Zealand next month by Prime Minister John Key... “The process for considering the visit by the USS Sampson is the same as that used for all ships attending the International Naval Review." More>>


Get More From Scoop



Search Scoop  
Powered by Vodafone
NZ independent news