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Good afternoon. It’s a pleasure to be with you again today.

The sixth Business Growth Agenda progress report, Building Capital Markets, which is being released today, outlines 50 initiatives to strengthen New Zealand’s capital markets, so they can support businesses to grow and create jobs, Finance Minister Bill English and Economic Development Minister Steven Joyce say.

The report also sets a goal of reducing the real interest rate premium on New Zealand debt, compared with the United States and Australia.

As we look out at the next three-five years across the wider public service, there are a few issues that I think it would be useful for you, along with us, to be thinking about.

First though, I want to remind you in fairly simple terms about the general framework that the Government has brought to dealing with the huge challenge of providing public services in difficult times.

A marginal improvement in the operating deficit before gains and losses in the six months to Dec 31 reflects the Government’s continuing careful stewardship of its finances, Finance Minister Bill English says.

The Government’s financial statements for the six months ended December 31 were published today showing that both Core Crown tax revenue and Core Crown revenue were slightly lower (0.1%) than forecast, but Core Crown expenses came in $273 million lower (0.8%) than expected, helping reduce the OBEGAL deficit by $158 million to $3.2 billion.

Finance Minister Bill English will present Budget 2013 on Thursday 16 May, he announced today.

“This will be the National-led Government’s fifth Budget in what have been extremely challenging global economic times,” he says.

“It will continue to implement the Government’s programme to deliver a more competitive and faster-growing economy, more jobs and a return to fiscal surplus,” he says.

Firm control of the Government’s expenses and an improvement in revenue has kept the Crown’s financial position broadly on track with forecasts in the five months to 30 November, Finance Minister Bill English says.

“Compared to the first five months of the previous financial year, we have made good progress in moving towards our target of getting back to surplus by 2014/15,” he says.