New Zealand government is preparing for the budget for May 14 that puts a lot of focuses on supporting post coronavirus economic recovery. Finance Minister Grant Robertson emphasized “we need to be thinking about when stimulus would have its best effect”. “When consumers are feeling gun shy and restricted in what they actually can do and buy, that’s probably not the best time”, he added “we’ll continue to look at our options for that.” But any further government support “will be substantial”.
Regarding public finances, the country’s level of debt is kept relatively in check despite the fiscal stimulus measures. “One of the reasons we’ve kept it low is because we have tended to be susceptible to global economic shocks and also natural disasters,” he said. “We do this so we’re ready for a rainy day, and it’s pouring outside. We’ll continue to be careful with our spending, but as most countries around the world have done we’ve put in substantial support packages already and there will be more to come.”
