Parliament

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

 

Balance of Payments similar to Asian crisis period

John Key MP National Party Finance Spokesman

21 December 2004

Balance of Payments similar to Asian crisis period

"It is extraordinary that our current account position is so bad when New Zealand commodity prices and the terms of trade are so high," says National Party Finance spokesman John Key, commenting on the current account deficit reaching 5.8% of GDP.

"It is the worst in four years and at similar levels to those seen during the Asian crisis," he says.

"A large Balance of Payments deficit was understandable when Asia was in financial meltdown, but now the world economy and our commodity prices have been enjoying strong growth. If this is what we get at the peak of an economic cycle, then we had better be worried about what happens when export prices fall.

"Treasury is forecasting the current account to continue to deteriorate to 6.4% of GDP, and the Government is in denial, preferring not to think about it. "We have an economy driven by a strong world economy and thus high commodity prices, a property boom and massive increases in public spending.

"Those demand pressures are creating a huge deterioration in the Balance of Payments, and this Government is pouring fuel on the fire with its undisciplined approach to public spending," says Mr Key.

Ends
ENDS

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines


Gordon Campbell: On The Roe v Wade Aftermath


Now that the right of US women to abortion (formerly protected by Roe v Wade) has been abolished, the important role of medication-induced abortion will come even more to the fore. Already, research by the Guttmacher Institute reproductive rights centre shows that over half of US abortions are obtained by medication. According to the US Food and Drug Administration and the World Health Organisation, the abortion pills can be safely self-administered at home within the first ten weeks of pregnancy, rather than via a surgical procedure carried out in a bricks-and-mortar abortion clinic...
More>>



 
 


Government: Electoral Changes Will Bring Greater Transparency For Voters

Changes to electoral law announced by Justice Minister Kiri Allan today aim to support participation in parliamentary elections, and improve public trust and confidence in New Zealand’s electoral system... More>>


Parliament: Grounds Fully Reopened

Parliament’s grounds have been fully reopened today at a ceremony and community event with mana whenua, members of the public, and representatives of Parliament... More>>


Chris Hipkins: Statement On Charlotte Bellis

On 31 January I released a statement regarding Charlotte Bellis and her MIQ application. I stated that emergency allocation criteria includes a requirement to travel to New Zealand within the next 14 days... More>>



NZ Republic: Charles CHOGM Speech Green Light For Change
“Prince Charles had made it clear in his speech to the Commonwealth Heads of Government Meeting (CHOGM) in Rwanda today that even the Royal family think it’s time for change” said Lewis Holden, campaign chair of New Zealand Republic... More>>


National: Goodfellow To Retire As Party President
Peter Goodfellow today announced he will not seek re-election as President of the National Party at its Annual Conference. Mr Goodfellow will remain as a director on the board for one final term to assist in the transition... More>>

Police: Parliament Occupation Investigators Seek Public Assistance
Police investigating criminal activity on the final day of the occupation at Parliament grounds earlier this year are appealing for the public’s help to identify 15 people... More>>

 
 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels