NZ budget
- GDP forecast 2018/2019 +2.1% (from 2.9%)
- 3.2% for the following fiscal year
- 2.6% seen as the average over 4 year forecast period
- increases annual operating allowance for new spending to $3.8 billion per year over the four-year forecast period, from $2.4 billion in the previous budget
- The operating allowance for budget 2020 has also increased to $3.0 billion from $2.4 billion
- debt forecast to drop to 19.9% by 2022
New Zealand Finance Minister Grant Robertson:
- says plans to move to 15-25% debt target range from 2022, target remains 20% of GDP until then
- says increased government spending will help domestic economy in face of global slowdown
- says US - China trade dispute, Brexit uncertainty and slowing global economy pose continuing risks
That move to a target range for debt from a point target was well flagged in advance.
