Backing the New Zealand economy
일요시사
0
791
2015.07.29 18:43
One of the big topics of conversation recently has been the economy, not just in New Zealand but worldwide.You may have heard, or read, about the issues with Greece, concerns China’s economy is slowing down, and about falling international diary prices. So how well placed is the New Zealand economy to deal with these potential headwinds?
The answer is we are very well positioned. We have a diversified economy that's resilient and expected to continue growing, despite the falling dairy prices and uncertainties in China and Greece.
Dairy farmers are doing it tough, and the sector is important. However, it makes up only about 5 per cent of our economy, and other key industries like tourism, the services industry, and ICT are all performing well.
Record numbers of tourists are coming to New Zealand; they’re staying for longer, and spending more than ever before.
Our exchange rate has also fallen in recent weeks, which is helping exporters.New Zealanders and their families are benefiting from lower price increases and a long period of stable, low interest rates, which means they can pay off their debt faster.Therefore it’s important we keep things in perspective and not needlessly talk ourselves into a gloomy mind set.
Just last week, international credit-rating agency Fitch Ratings assessed the economic outlook for New Zealand.Fitch noted our outlook is positive and it expects the pace of economic growth in New Zealand will be around 2.8 per cent in 2015, which is still above the OECD average of 2.0 per cent.
The Government is also continuing to support the economy with billions of dollars of infrastructure investment, including broadband, roads, new schools and classrooms, hospitals, irrigation, and rebuilding Christchurch. New Zealand exports a multitude of goods and services to a wide range of countries. Many of those exports are doing well.
The Government is mindful of the recent global risks I’ve mentioned, but it’s important not to overstate them, as our opponents often like to do. We should back ourselves and our resilient economy to meet these latest challenges.
