14 OCTOBER 2015

“On/Off Surplus” More like a Flickering Light

New Zealand First is questioning National’s economic credentials with its “on then off” Budget Surplus, now apparently on, at $414 million.

“Finance Minister Bill English will be embarrassed when the current surplus he is projecting for 2015/16 becomes a deficit due to El Nino drought and the dairy downturn,” says New Zealand First Deputy Leader Ron Mark.

“The most excited Minister by this surplus will be Minister Brownlee, who can now dream of 41 panda enclosures instead of just two pandas. Yet the serious issue this raises is the utter unreliability of economic forecasting by this government.

“Given that a $372 million surplus last May became a $684m deficit one year later and has now ended up as a $414m surplus, it’s less like landing a 747 on the head of a pin and more like failing to hit the broad side of a barn.

“Only today, Minister Joyce said he wants up to $200 billion in foreign investment in order to boost exports by 2025. Aside from being almost New Zealand’s entire economic output for a year it signals that New Zealand is for sale.

“And what’s the point of exporting if all the profits of this investment is sucked off-shore?

“It further highlights the desperation of this government since it has failed to grow our economy where it matters – exports. Instead, it is trying to outsource exports. No wonder why National wants to change the flag,” says Mr Mark.

ENDS

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