Government builds momentum in Budget 2013

Budget 2013 builds on the momentum created by the previous four Budgets across the Government’s wide-ranging programme, Prime Minister John Key says.

“Every Budget since 2009 has been presented against the backdrop of extremely challenging economic conditions.

“In particular, the global financial crisis, the Christchurch earthquakes and ongoing uncertainty around the world have affected most New Zealand households and businesses.

“While those challenges remain, improvements across a range of indicators and improving confidence among New Zealanders mean Budget 2013 has been prepared with a fresh sense of optimism,” Mr Key says.

“Growth is better than in most other developed countries, we are on track to surplus in 2014/15, and we are investing in programmes that will support jobs and deliver better public services.”

A feature of the Budget is a $100 million-a-year internationally-focused growth package, providing extra research and development assistance to businesses, additional funding for tourism, and more resources for marketing New Zealand to international students.

“This important initiative acknowledges New Zealand’s need to pay its way in the world through increased trade and investment if we are to create jobs and opportunities for hard-working Kiwis here in New Zealand,” Mr Key says.

“As I announced last month, within this package $158 million over four years will provide a significant boost for overseas tourism marketing, particularly in emerging and high-value markets, and $40 million over four years will be used to encourage and foster international education.

“In addition, science and innovation funding will be increased by $50 million a year. This takes the Government’s annual investment in research and development for 2013/14 to a record $1.36 billion.”

Mr Key says many other developed countries are still struggling with too much debt, little or no growth, or a combination of both.

“My Government does not want that for New Zealand.

“Budget 2013 sets out the next steps in our long-term programme, which we started after we were first elected in 2008, to ensure that we have a brighter future in this country.

“Momentum is building towards a stronger, more stable, economy that can again weather global storms and deliver opportunities, higher incomes, and more jobs for New Zealanders,” Mr Key says.