It’s NZ Budget day: expect an upbeat outlook for economic outlook - ANZ
|Analysts at ANZ explained that it’s NZ Budget day where the key messages are expected to be: an upbeat outlook for tax revenues and the general economic outlook; and the government can achieve its fiscal targets, but there will be some tough trade-offs for spending priorities.
Key Quotes:
"Tax revenues should get a small bump from the new “Amazon tax” (GST on online purchases under $400), the removal of negative gearing on investment property, and the targeting of foreign and multinational companies on the tax front. In addition, the starting point for the Government’s books is stronger than forecast in the 2017 Half Year Update."
"Together, the higher starting point and small bump in revenue provide the Government with a few options."
"But we expect there will be little room for additional sweeteners of any significant size as the government maintains strict adherence to its Budget Responsibility Rules."
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.