Articles tagged with Fiscal Policy

Showing 2 of 2 articles

S&P Affirms New Zealand’s AA+ Rating with Stable Outlook and Growth Forecast

Finance Minister Nicola Willis welcomed S&P’s affirmation of New Zealand’s AA+ credit rating with a stable outlook, highlighting the agency’s confidence in the economy and government fiscal management. S&P forecasts 2.5% economic growth by June next year and praises New Zealand’s monetary policy flexibility, low net debt, and strong institutions, despite some external imbalances and fiscal deficits. The agency also acknowledges government actions like tax reductions and investment incentives aimed at reducing the deficit and revitalizing the economy, supporting a positive outlook for job creation and fiscal surplus.

Treasury Report: Pitfalls of Excessive Government Spending Exposed

Finance Minister Nicola Willis highlights Treasury's report on the dangers of excessive government spending, emphasizing the challenges of using large spending measures in response to one-off shocks like the Covid-19 pandemic. The report criticizes the fiscal response to Covid, pointing out significant errors made and urging policymakers to avoid repeating those mistakes. It emphasizes the importance of restoring fiscal guardrails promptly after increased spending during crises, praising the current Government's commitment to responsible fiscal and economic management.