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

 


Short term Nats ignore long term deficit threat

David Parker
Spokesperson for Finance

18 December 2013

Short term Nats ignore long term deficit threat

The growing current account deficit is a serious long term threat to the economy which is being completely ignored by this short term Government, says Labour’s Finance spokesperson David Parker.

“The balance of payments released today shows that the current account deficit is 4.1 per cent of GDP and our net international liabilities are $150 billion. That has a serious impact on the jobs and investment New Zealand needs to provide the opportunities and higher wages New Zealanders need.

“The current account is the deficit National refuses to talk about. Bill English and John Key repeatedly sweep these figures under the carpet. In yesterday’s HYEFU Bill English spoke a lot about Government’s deficit but he ignored the forecast that the current account deficit – the national deficit – will reach $17 billion by 2017.

“Bill English promised that he would rebalance the economy towards exports and fix the current account. He has failed.

“Ignoring the deficit is economic negligence and wastes opportunities for New Zealanders. As a country we are losing money and becoming more indebted to foreign lenders. Our interest bill and dividends paid overseas add up and the spiral continues.

“Any family that gets into too much debt understands that, eventually, you have to pay that debt off. As a country it means land and companies are sold overseas, jobs are cut and wages stagnate.

“I won’t stand for that. Labour will rebalance the economy so New Zealand is once more a country that sells more overseas than it spends. That’s the true path to a wealthy nation.

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Parliament Today:

High Trust Regime: What Did The PM Tell His Lawyer About Foreign Trusts?

The Government stopped the IRD from reviewing New Zealand foreign trusts shortly after the Prime Minister’s lawyer wrote to the Revenue Minister claiming John Key had promised him the regime would not be changed. More>>

ALSO:

'When New' Repairs: Landmark EQC Settlement

The Earthquake Commission has cut a deal with 98 Canterbury homeowners that affirms the government entity's responsibility to repair earthquake-damaged property to a 'when new' state, as well as covering repairs for undamaged parts of a property and clarifying its position on cash settlement calculations. More>>

ALSO:

Gordon Campbell: On Kiwirail’s Latest Stint In The Dogbox

The denigration of Kiwirail continues. The latest review (based on a 2014 assessment) of the options facing the company have enabled Kiwirail to be hung out to dry once again as a liability and burden on the taxpayer. More>>

ALSO:

Royal Society Report: Good Opportunities To Act Now On Climate Change

There are many actions New Zealand can and should take now to reduce the threat of climate change and transition to a low-carbon economy, a report released today by the Royal Society of New Zealand finds... More>>

ALSO:

Paris Climate Deal Signed: Bennett 'Taking Advice' On Cancelling 'Dodgy' Credits

Climate Change Minister Paula Bennett is "taking advice" on whether to cancel some or all of the so-called 'dodgy' carbon credits bought mainly by power and petrol companies to cover New Zealand's future obligations to reduce emissions of greenhouse gases that cause climate change. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news