John Key MP
National Party Finance Spokesman
23 June 2006

Cullen does little to prepare for economic slowdown

Michael Cullen has sat on his hands for the past six years and done little to prepare the economy for the economic slowdown, says National Finance spokesman John Key.

“The anaemic growth figure for the March quarter is hardly something Dr Cullen can crow about.

“In the past nine months we’ve had growth of only 0.8%. We have the spectacle of a finance minister congratulating himself for a result that in some countries would amount to a rounding error.

“Predictions are that the June quarter Gross Domestic Product figure will not be flash.

“The latest figures come after the news of the worst Current Account deficit since 1975, and some 650 Kiwis a week disappearing to Australia to work.

“The latest GDP figures show business investment in fixed assets has fallen 1.4% and export volumes are down 2.6%. That’s not good.

“Meanwhile, debt-fuelled consumer consumption is up. This is ironic, given that Dr Cullen was telling consumers off for their spending spree only a few months ago and is now cheering them on.

“Dr Cullen should have spent the past six years sorting out a better policy framework, but he’s squandered that time and this is costing the country.”

ENDS

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