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Brash's position becoming untenable

Jim Anderton MP Thu Aug 19 1999

Jim Anderton
MPAlliance leader Jim Anderton says the Governor of the Reserve Bank is becoming so politically partisan, his position at the head of the bank is becoming untenable.

In a speech last night Governor Brash:

· Attacked the DPB and New Zealand Superannuation

· Described opposition to tariff reductions as 'mad theory'

· Advocated user charges for all medical care.

· Described the highly controversial monetary policy framework as 'hugely successful' and 'supported by most political parties' (it is only fully supported by National and Act).

· Claimed that the Reserve Bank Act had made more phone connections available, increased the level of service on domestic flights and reduced the cost of posting letters.

Jim Anderton said the Reserve Bank Governor took an overtly political stance during the 1996 election, increased his political activity during the doomed 1997 superannuation referendum and was clearly intending to repeat his activism.

'The Reserve Bank Governor is using taxpayers money and a tax-funded statutory position to advocate his personal political agenda in the most venal and political way. Any responsible government leadership would be asking Mr Brash today why his resignation has not been offered.

'If he wants to set policy on the cost of health care, the DPB, superannuation and tariffs, then he should stand for parliament again, just like he did in 1980 and 1981 when he was twice humilated by Garry Knapp.

'Mr Brash has a nasty habit of stating highly controversial political opinion as if it was some kind of indisputable fact. He is almost always wrong.

'Not only has Dr Brash displayed overt politcal partisanship, his operation of monetary policy in recent years has plunged the economny into recession, and ruined our tradable sector. It is difficult to see how he can possibly expect to remain in his position,' Jim Anderton said.

ENDS

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