New Zealand Embassy Tokyo, Japan
Minister of Finance Hon Bill English makes Government Securities presentation to Japanese investors
Minister of Finance Hon Bill English made a presentation at the New Zealand Embassy in Tokyo on Thursday 11 October to Japanese investors with an interest in New Zealand Government Securities. Among the points highlighted by the Minister were:
- There is a prospect of accelerating growth as earthquake-related construction in Christchurch gathers momentum and commodity prices remain elevated (nominal GPD growth is projected to average 5% over the four-year forecast period)
- Despite a slow-down in demand from China for some commodities, demand for New Zealand agricultural products in the Chinese market is expected to remain strong
- There is an expectation that inflation pressure from the Christchurch rebuild (total spend of more than US$20 billion over next 5-7 years) will be offset by otherwise weak trading conditions and a strong New Zealand dollar
- Fiscal forecasts are for the government’s operating balance to return to surplus in the year to June 2015
- Net government debt is forecasted to peak at just under 29% of GDP in the year to June 2014.
Here is a link to a set of technical notes that were given to Japanese investors at the briefing.