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

 


Asset sales will leave Govt and economy worse off

21 May 2012

Asset sales will leave Govt and economy worse off

The Green Party today released the detailed findings of a new report that shows the Government and the economy will be permanently worse off if asset sales go ahead.

BERL’s chief economist, Dr Ganesh Nana, was commissioned by the Green Party to investigate the long term impacts of the Government’s signature asset sales programme.

“BERL have found that a programme of asset sales leaves the Government accounts permanently worse off in terms of Government debt, debt ratio, net worth, and total assets,” said Green Party Co-leader Dr Russel Norman.

“Not only is the news bad for the Government’s books, the effect of asset sales on the wider economy is even worse.

“BERL have found that the flow of profits to foreign buyers will result in ‘a permanent deterioration in the external deficit and the level of external debt’.

“Even Bill English accepts that our high levels of indebtedness to overseas lenders is our number one economic vulnerability.

“His programme of asset sales would make that worse.”

Dr Ganesh Nana’s report concluded that, “It would be unwise from an economic perspective to embark on a policy that risked increasing external payment obligations.”

“The National Government has dug itself into a hole with poor economic management and poor choices; asset sales would only make it worse,” said Dr Norman.

“National has borrowed around $2 billion to finance their 2010 tax cuts, has increased ETS subsidies to polluters, and is spending $14 billion on uneconomic motorways.

“Now we are all going to have to pay for National’s poor economic choices with higher charges on prescription medicines, cuts to the number of school teachers, and cuts to affordable housing.

“National’s record debt can be brought under control with smart green economic choices promoted by the Green Party, without punishing families on tight budgets.”

Link to BERL Report on Asset Sales: http://www.greens.org.nz/misc-documents/berl-report-asset-sales

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Wellington: Predator Free Capital Plan

Wellington City Council (WCC), the Greater Wellington Regional Council (GWRC) and NEXT Foundation, today announced a joint collaboration to make Wellington the first Predator Free capital city in the world. More>>

ALSO:

Gordon Campbell: On Judith Collins’ Efforts At Self Correction

Thousands of prisoners currently in prison may be entitled to an earlier release than expected – and compensation – because Corrections has incorrectly calculated their term of imprisonment. Unless of course, the government buries its mistakes by changing the law and retro-actively getting itself off the hook… More>>

ALSO:

More Justice & Corrections

Sector Opposes Bill: Local Government Bill Timeframe Extended

The Minister of Local Government Peseta Sam Lotu-Iiga has asked the Select Committee to extend the report back date for the Local Government Act 2002 Amendment Bill (No 2). More>>

ALSO:

Breed Laws Don’t Work: Vets On New National Dog Control Plan

It is pleasing therefore to see Louise Upston Associate Minister for Local Government calling for a comprehensive solution... However, relying on breed specific laws to manage dog aggression will not work. More>>

ALSO:

Not Waiting On Select Committee: Green Party Releases Medically-Assisted Dying Policy

“Adults with a terminal illness should have the right to choose a medically assisted death,” Green Party health spokesperson Kevin Hague said. “The Green Party does not support extending assisted dying to people who aren't terminally ill because we can’t be confident that this won't further marginalise the lives of people with disabilities." More>>

ALSO:

General Election Review: Changes To Electoral Act Introduced

More effective systems in polling places and earlier counting of advanced votes are on their way through proposed changes to our electoral laws, Justice Minister Amy Adams says. More>>

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news