Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 


Budget Lacks Boldness On Growth Goal


For immediate release
May 23, 2002

Budget Lacks Boldness On Growth Goal

The Government’s commitment to economic transformation in the Budget is encouraging, but lacks any strong sense of boldness and urgency, The Knowledge Wave Trust’s Director, Bridget Wickham, said today.

“Announcements in the Budget build on the many incremental initiatives the Government has already taken to foster an economy that is faster-growing, knowledge-based, and innovative,” said Ms Wickham. “There have been significant new investments in areas such as supporting research, commercialisation of new discoveries, and access to venture capital.

“All this is encouraging, but we seem to be inching cautiously towards the goal of faster economic growth rather than taking the big, bold strides needed to make up for lost ground.”

While the economy had benefited in 2001 from low commodity prices and a low dollar and near term growth prospects averaged 2.6%, New Zealand was still a long way short of the annual growth needed to narrow the income gap with the rest of the world’s developed economies.

“The Government has started creating the right framework, as we can see in the tertiary education strategy, in its decision to focus on key sectors like ICT, biotechnology and the creative industries and its recognition that better funding mechanisms are needed to foster research and development.

“The danger is that the effectiveness of these policies in unlocking New Zealand’s huge potential could be undermined by setting our sights too low in important areas like encouraging foreign direct investment.”

Ms Wickham said the proposed new investment agency to be created out of Investment New Zealand and Industry New Zealand was a good example of an excellent initiative at risk from inadequate resources.

“The Boston Consulting Group report that formed part of the Innovation Framework announcements suggested an initial budget of $28 million would be necessary for a new agency to do a thorough job of encouraging foreign direct investment. The $6.5 million allocated in the Budget for the first year suggests the Government has not made this initiative a high priority.”

Ms Wickham said The Knowledge Wave Trust was encouraged to see how far political, business and community thinking had shifted in terms of the need for New Zealand to be transformed into a knowledge society.

“What we would like to see now is that thinking turned into the decisive actions we need to turn around our economic performance. Higher growth is essential for better economic and social outcomes and we recognise that it will require skilful political leadership to maintain consensus behind the importance of this goal. The Trust urges all political parties contesting this year’s general election to seek a policy mix that ensures New Zealand’s economic and social potential is realised.”

For further information contact:
Bridget Wickham
Knowledge Wave Trust
021 666 019


© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Ruataniwha: DOC, Hawke's Bay Council Developer Take Supreme Court Appeal

The Department of Conservation and Hawke's Bay Regional Investment Company (HBRIC) are appealing to the Supreme Court over a conservation land swap which the Court of Appeal halted. More>>

ALSO:

With NZ's Marama Davidson: Women’s Flotilla Leaves Sicily – Heading For Gaza

Women representing 13 countries spanning five continents began their journey yesterday on Zaytouna-Oliva to the shores of Gaza, which has been under blockade since 2007. On board are a Nobel Peace Laureate, three parliamentarians, a decorated US diplomat, journalists, an Olympic athlete, and a physician. A list of the women with their background can be found here. More>>

Gordon Campbell: On The Key Style Of Crisis Management

At Monday’s post Cabinet press conference Key was in his finest wide- eyed “Problem? What problem?” mode. No, there wasn’t really a problem that top MPI officials had been at odds with each other over the meaning of the fisheries policy and how that policy should be pursued... More>>

ALSO:

Mt Roskill: Greens Will Not Stand In Likely Post-Goff By-Election

“The Green Party’s priority is changing the Government in 2017, and as part of that we’ve decided that we won’t stand a candidate in the probable Mt Roskill by-election... This decision shows the Memorandum of Understanding between Labour and the Green Party is working." More>>

ALSO:

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:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Politics
Search Scoop  
 
 
Powered by Vodafone
NZ independent news