NZ Budget 2017: Having your cake and eating it too – Westpac
|The research team at Westpac explains that according to the just published budget of New Zealand, strengthening economic conditions are allowing the Government to have its cake and eat it too.
Key Quotes
“In Budget 2017, the Government has introduced a Family Incomes Package to support those on lower and middle incomes. This includes an adjustment to tax thresholds, an increase in Working for Families, as well as increases in accommodation support.”
“Spending is being increased in a range of areas, including public and social services, as well as much needed infrastructure investment.”
“Firm economic conditions mean that the Government can make these changes while maintaining its focus on longer-term debt reduction and improving the economy’s financial resilience.”
“The initiatives announced today are likely to support GDP growth over the coming years. However, we have some concerns that economic growth, and therefore the surpluses, are unlikely to be as healthy as the Government expects over the course of the next five years.”
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.