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

 


Who Owns NZ? Foreign Control Key Facts Updated

For the first time in several years, CAFCA has completely updated the Foreign Control Key Facts page on our Website.

Big thanks to CAFCA Committee member Bill Rosenberg who did all the work.

And, for the first time, the Key Facts are accompanied by the sources for each one of them.

Please distribute them widely. They deserve to be known by all New Zealanders

http://canterbury.cyberplace.co.nz/community/CAFCA/keyfacts.html

Murray Horton
Secretary/Organiser

CAFCA
Campaign Against Foreign Control of Aotearoa

--

Foreign Control - Key facts

Source
/Foreign direct investment (ownership of companies) in New Zealand increased from $9.7 billion in March 1989 to $101.4 billion at March 2013 – ten and a half times. As a proportion of the total output of the economy, Gross Domestic Product, it has risen from 14% to 48%. Though ownership of overseas assets by New Zealanders has grown even faster over that period from a very small start, net foreign direct investment has still almost tripled as a percentage of GDP, rising from 13% of GDP to 37%.International Investment Position, National Accounts, Statistics New Zealand
/Foreign owners now control 33% of the share market. In 1989, the figure was 19% and it was estimated to be below 5% in 1986.1986 and 2013: "Brian Gaynor: New Zealanders buy back their sharemarket", New Zealand Herald, 19 October 2013 1989: "Corporate Governance Research on New Zealand Listed Companies", by Mark Fox, Gordon Walker and Alma Pekmezovic, Arizona Journal of International & Comparative Law Vol. 29, No. 1, 2012, Table 4, p.16
/In 2012, the Overseas Investment Office (OIO), approved foreign investment totalling $4.9 billion. The average for the decade 2003-2012 was $10.9 billion. All but $2.0 billion in 2012 was sales from one overseas company to another (all but $2.2 billion on average over the decade). Only company takeovers involving $100 million or more need OIO approval, except those involving land or fishing quotas. For private Australian investors the threshold is $477 million, but this is adjusted upwards each year for inflation. Until 1999, the threshold was $10m and from August 2005 the government increased it to $100m.Overseas Investment Commission and Overseas Investment Office.
/In 2012, the OIO approved the sale of 43,080 hectares of freehold rural land and 8,554 hectares of leases and other interests in land to foreigners. About 10,000 hectares of the freehold land and almost all the leases and other interests in land were from one foreign investor to another. In the decade 2003 to 2012, the average was 133,942 hectares of freehold and 60,435 hectares of leases and other interests in land approved for sale. Statistics on sales of land to overseas interests are poorly recorded and incomplete. Our best estimate is that in 2011 at least 8.7 percent of New Zealand farmland including forestry, or 1.3 million hectares, is foreign-owned or controlled and it could have reached 10 percent.Overseas Investment Commission and Overseas Investment Office.
“Overseas Ownership Of Land: Far Greater Than The 1% The PM Claims”, by Bill Rosenberghttp://www.converge.org.nz/watchdog/29/02.htm
/Statistics NZ figures, as of March 2013, list the biggest foreign owners of New Zealand companies as, in decreasing order: Australia, US, UK, Singapore, Netherlands, Japan, British Virgin Islands, Hong Kong, Cayman Islands, Canada, Switzerland, China and France. These accounted for 96% of foreign direct investment in New Zealand. British Virgin Islands and Cayman Islands are tax havens, and a Statistics New Zealand study showed that in 2010, large proportions of the foreign direct investment from the Netherlands, Singapore, Hong Kong and tax havens was in fact from other countries, led by the UK, US, Germany and Canada.International Investment Position, Statistics New Zealand
Mallika Kelkar. (2011). “The ultimate sources of foreign direct investment (p. 19). Presented at the New Zealand Association of Economists (NZAE) Conference, Wellington, New Zealand. Retrieved from http://stats.govt.nz/methods/research-papers/nzae/nzae-2011/ultimate-sources-foreign-direct-investment.aspx
/Transnational corporations (TNCs) make massive profits out of New Zealand. These can truly be called New Zealand's biggest invisible export. In the year to March 2013 at $8.3 billion their profits were almost as much as the $8.5 billion earned by the combined exports of seafood and milk powder. In the decade 2004-2013, TNCs made $73.4 billion in profits from New Zealand. Only 27% was reinvested.Balance of Payments; Key Statistics Table 7.04 - Value of principal exports (excl re-exports) - Statistics New Zealand
/ Another $7.2 billion left New Zealand in the year to March 2013 made up of investment income from debt and smaller shareholdings (portfolio investment), making a total $15.5 billion. That is almost as much as the $15.8 billion of dairy and forest product exports during the same year. Almost half of the $15.5 billion (45%) was from the banking sector. The investment income from the banking sector (after taking account of its small earnings from abroad) was responsible for 71% of New Zealand’s current account deficit in the year to March 2013. The investment income deficit (income on New Zealand investment overseas less income on foreign investment in New Zealand) is typically at least as great as the current account deficit which further increases New Zealand’s foreign liabilities.Balance of Payments; Key Statistics Table 7.04 - Value of principal exports (excl re-exports) - Statistics New Zealand
/ The Financial and insurance services sector, which includes the four big Australian owned banks, accounted for by far the biggest part of the $101.4 billion foreign ownership of New Zealand companies by industry in March 2013, with $39.3 billion. Next was Manufacturing at $14.4 billion. Other industries with more than $1 billion of foreign investment were in decreasing size, Retail trade; Rental, hiring and real estate services; Agriculture, forestry, and fishing; Professional, scientific and technical services; Electricity, gas, water and waste services; Wholesale trade; Mining; Information media and telecommunications; and Health care and social assistance.International Investment Position, Statistics New Zealand
/Foreign investors are not great for employment – they only employ 17% of the workforce, despite owning a large proportion of the economy. Foreign ownership does not guarantee more jobs. In fact, it quite often adds to unemployment. TNCs have made tens of thousands jobless.Business demography statistics: Major industry by overseas equity (ANZSIC 06) 2000 -13, Statistics New Zealand
/Foreign ownership does nothing to improve New Zealand's foreign debt problem. In 1984, total private and public foreign debt stood at $16 billion, equivalent to less than half New Zealand’s Gross Domestic Product, and worth $50 billion in March 2013 dollars. As of March 2013, it was $251 billion, equivalent to well over 100% of New Zealand's Gross Domestic Product, despite all of the asset sales and takeovers.International Investment Position, National Accounts - Statisti


© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

#SaveCampbellLive : Mediaworks Delivered 104,000 Petition Signatures At TV3's Newton HQ
#PonyTailGate #TailGate Full Coverage

Pukeahu Park : ANZAC 100th Anniversary Dawn Service In Pictures

Roughly 18,000 people gathered this morning at Pukeahu Memorial Park for the Anzac day centenary. Anticipating the large turnout, patrons arrived as early as 4.30. It was virtually impossible to get near the Memorial after 5am. By 6, the crowds on Taranaki Street had stretched as far back as the Z Petrol station.

The screens erected around the park displayed the live events to those who had turned up. The heat generated by the huge number of people caused many to take a turn. Medics and ambulances were on hand for the fainting crowd members. Only twenty minutes into the ceremony, one medic said they had already dealt with 15 to 20 spells. More>>

 

PARLIAMENT TODAY:

War: What’s To Commemorate?

Gordon Campbell in Werewolf: Is there anything that can be validly commemorated on this 100th anniversary of Gallipoli? Beyond, that is, a fleeting sense of empathy with the thousands of soldiers killed or wounded on April 25 1915 and in the months thereafter, until the whole thing was finally called off in December 1915. More>>

MORE IN WEREWOLF:

ALSO:

Peter Ellis Case: Minister Declines Request For Commission Of Inquiry

Justice Minister Amy Adams has declined a request from supporters of Peter Ellis for a Commission of Inquiry on the basis that an inquiry cannot be used to determine the liability of any person. More>>

Quakes: New Process For Red Zone Crown Offers

Canterbury Earthquake Recovery Minister Gerry Brownlee has announced a process to give everyone a say on the Crown offers to owners of vacant, commercial/industrial and uninsured properties in the Residential Red Zone. More>>

ALSO:

Gordon Campbell: On The Battle Obama Is Waging Over The TPP

For the past two and a half years, this column has been arguing that the fate of the Trans Pacific Partnership (TPP) deal will hinge on whether US President Barack Obama can win Trade Promotion Authority (TPA) from Congress... Last week, the White House finally, finally unveiled a draft TPA Bill. More>>

ALSO:

Greens: Govt Breaks Free Doctors Visit Promise To Kids

Documents obtained by the Green Party show that the Government decided to fund only 90 percent of doctors’ visits for children suffering from an injury in an attempt trim the cost of the so-called “free” visits. More>>

ALSO:

Other Wars: Extension Of NZDF Commitment In Afghanistan

The New Zealand Defence Force’s commitment of mentors and support staff to the Afghan National Army Officer Academy in Afghanistan has been extended out to December 2016, Defence Minister Gerry Brownlee says. More>>

PM's Press Conference: Auckland Property Prices Increasing "Too Rapidly"

John Key accepted that Auckland property prices 'are going up too rapidly” in a press conference held today in Wellington, however he said that this is not anything new. More>>

ALSO:

Press Conference: ANZAC PMs Concerned About ISIL Bringing The War Home

Prime Minister Key and Prime Minister Abbott spoke of the bond formed between Australia and New Zealand in the “baptism of fire” of Gallipoli. Abbott stated that New Zealand and Australia’s values and interests are linked, and this is reflected in the joint operation in Iraq which will begin shortly. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Politics
Search Scoop  
 
 
Powered by Vodafone
NZ independent news