Finance

Robin Gauld, University of Otago New Zealand’s budget brings a significant funding injection for health and disability services, amounting to around a 9% increase. It is the most substantial increase for the health sector in some time, and in this regard, aligns with the government’s 2019 well-being budget. Overall, the budget provides an additional NZ$4.3 billion over the next four …

Grant Duncan, Massey University New Zealand Prime Minister Jacinda Ardern has won global admiration for her personal style. But how will Kiwis judge her government’s performance at the ballot-box in September? A major factor in that decision will be how well today’s budget is received – and how well it achieves its stated aim of “responding, recovering and rebuilding” after …

Norman Gemmell, Te Herenga Waka — Victoria University of Wellington May 14’s budget will surely be remembered as the “pandemic budget”. It might seem like the worst possible timing – economic uncertainty rages, Treasury has had to abandon its usual economic “forecasts”, and the pandemic’s viral economic spread is far from over. On the contrary, this may be very good …

Jonathan Boston, Te Herenga Waka — Victoria University of Wellington Budget 2020’s focus on “jobs, jobs and jobs” is understandable, commendable and vital. COVID-19 poses the largest threat to paid employment since the Great Depression almost 90 years ago. The number of people receiving Job Seeker Support (Work Ready) – the main benefit available for the unemployed – rose almost …

New Zealand’s startups and their founders are our untapped powerhouse of problem solvers, says Suse Reynolds. Startups are not SMEs. We are talking about a cohort of super ambitious, high growth, tech-rich businesses with highly driven teams which are generally venture investment-backed. These businesses are developing solutions to problems with highly valuable, large and sometimes new, markets. They are businesses like …

Government should take short-term equity stakes in Covid-19 afflicted companies – rather than free money, says Alex Duncan. Before the Covid-19 crisis, government debt was around $64 billion, or about 20% of Gross Domestic Production (GDP).  Achieving this took years of hard political graft and fiscal discipline by governing parties on both sides of Parliament. It is just as well, …

Hongzhi Gao, Te Herenga Waka — Victoria University of Wellington and Monica Ren, Macquarie University When it comes to our economic over-reliance on China, New Zealand consumers need look no further than their most popular big box chain, The Warehouse. The familiar “big red shed” sourced about 60% of its home brand stock from China in 2017 – and a …

Ilan Noy, Te Herenga Waka — Victoria University of Wellington With New Zealand’s May 14 budget expected to chart the way out of the economic crisis, Finance Minister Grant Robertson should be looking to the past as well as the future. Finance ministers elsewhere are facing similar decisions, many even more constrained than New Zealand’s. But the common claim that …

Infrastructure NZ’s Paul Blair tells Tim McCready that infrastructure investment and construction will play a major role in New Zealand’s economic recovery programme – but central and local government collaboration is required to make it happen. Infrastructure NZ – New Zealand’s peak infrastructure body representing 140 public and private sector industry members – says the Government’s response for the infrastructure …

New Zealand has a challenge to broaden its Asia markets and agricultural consultant Keith Woodford asks: will New Zealand broaden its Asian perspective, or will China always dominate as a market destination? Over the last 12 years, we have seen a remarkable increase in exports to China since the Free Trade Agreement was signed in 2008. I recall in that …