Source: New Zealand Parliament – Hansard
ORAL QUESTIONS
QUESTIONS TO MINISTERS
Question No. 1—Finance
1. HELEN WHITE (Labour) to the Minister of Finance: What reports has he seen on the New Zealand economy?
Hon GRANT ROBERTSON (Minister of Finance): Mr Speaker—
Hon Members: Big trouble!
Hon GRANT ROBERTSON: No, just joking. I have today seen the ANZ New Zealand Business Outlook report, which says that business confidence is at its highest level since June 2021. Businesses’ confidence in their own activity is at the highest level since December 2021. This remains a tough time for many New Zealanders, but the economy is turning a corner, there are sunnier days ahead, and, as the ANZ business outlook is titled, “Goldilocks is in the building”.
Helen White: What else did the report say about the economy?
Hon GRANT ROBERTSON: Well, what the report said, and I will just quote directly from it: The … “ANZ Business Outlook survey was ‘the best of all worlds’ in terms of the monthly moves.” Economy-wide activity indicators lifted across the board, both forward- and backward-looking, from activity to export investment and employment intentions, to profitability expectations and anticipated ease of credit. This has been a difficult time for many businesses, but they are looking on the upside, as is this Government.
Helen White: What other reports has he seen on the economy?
Hon GRANT ROBERTSON: Well, I have seen reports coming forward of international indicators of the economy, and that includes from Moody’s Investors Service, who reaffirmed the stable outlook for New Zealand’s triple A rating, and Fitch Ratings, who also reconfirmed their rating and said that it was the Government’s policy framework and attention to making sure that we supported New Zealanders that has got us through the last few years.
Helen White: What reports has he seen on the impact of the labour market on the economy?
Hon GRANT ROBERTSON: Well, employment in New Zealand continues to grow, and we have seen the labour market supporting the economy. Unemployment is at 3.6 percent, compared with 4.6 percent when we took office. The New Zealand economy has delivered eight quarters of unemployment below 4 percent—only the second time in our recent history that that has occurred. We’ve added 322,000 jobs since 2017, and average hourly earnings have risen 29 percent over the same period. We know that many Kiwi families have done it tough in the face of cost of living pressures, but they’ve done so while in paid work, with their wages rising.
Helen White: What other reports has he seen on proposals to support the economy?
Hon GRANT ROBERTSON: Well, the Government is taking a balanced approach to supporting New Zealanders in dealing with the cost of living, while investing in strong public services in a financially sustainable and responsible manner. Alternatively, there are proposals that I’ve seen that involve dodgy costings for new taxes and billions of dollars of cuts to the public services that New Zealanders rely upon. If these proposals were adopted, the impact on future Budgets in the economy would be significant, making life much harder for New Zealanders, shutting out first-home buyers, and ending investment in climate action. But the good news is it ain’t gonna happen!
