The Government is providing extra cost of living support to families and businesses, delivering on new Prime Minister Chris Hipkins’ promise of a greater focus on the issues facing New Zealanders right now.
Hon Grant Robertson
The strong economy has attracted more people into the workforce, with a record number of New Zealanders in paid work and wages rising to help with cost of living pressures.
The economy is continuing to grow solidly with the return of tourists in increasing numbers and higher construction activity, putting New Zealand in a stronger starting point to meet the challenges of a deteriorating global economy.
Budget 2023 will continue the Government’s commitment to providing Kiwis with economic security through what will be a difficult year for the global economy facing both the challenge of inflation and a forecast economic slowdown.
The Government is providing more cost of living support by extending the petrol excise discount until the end of February then phasing it out by the end of March. Half price public transport will also be extended until the end of March.
Tauranga will be the first region to use a new Government tool to raise funding for much-needed infrastructure.
In the last five years Kāinga Ora has delivered over 8,370 newly built homes, over 900 retrofits and is overseeing the biggest urban development programme since the 1970s, with programmes like Large Scale Projects.
The Government has asked the Productivity Commission to hold an inquiry into the resilience of the New Zealand economy to supply chain disruptions.
The resilient economy and the Government’s responsible financial management means New Zealand is well positioned to respond to a difficult and challenging global environment.
Inflation has eased slightly in the New Zealand economy amid a volatile international environment that continues to put pressure on prices, meaning the Government’s balanced financial approach to target spending is needed now that the emergency Covid spending is over.
New Zealand is in a strong position to handle the increasing global economic turbulence highlighted by the IMF’s latest forecasts released today.
Grant Robertson departs this evening with a business delegation to New York, after which he will travel to Washington DC for meetings.
The Government has delivered a set of books that are among the strongest in the world, ending the 2021/2022 fiscal year in a stronger position than forecast and ensuring New Zealand is well placed to respond to an increasingly volatile global economy.