|
Budget 2002 cements the government's reputation as a careful manager of the nation's finances, Georgina Beyer MP said today.
"We have delivered on our policy commitments, made a material improvement to the lives of hundreds and thousands of New Zealanders and pushed millions of dollars into building the economy - and we have done it all without breaching our revised $6.125 billion limit on net new spending.
"We can now look forward to a pattern of rising budget surpluses, and stable growth of around three per cent in each of the next four years.
"That is above the OECD average over the period, but not as good as the government would like. We have set ourselves the goal of restoring New Zealand's per capita income to the top half of the OECD league table, " Georgina Beyer said.
"The budget supports this objective with big strategic "spends" in education and in the growth and innovation framework outlined by the Prime Minister in February. The budget commits around $235 million over the next three years into research, science and technology, and economic, industry and regional development and puts another $1.4 billion into education.
"The message from the economic and fiscal forecasts in this year's budget for the people of Wairarapa is that you can plan for the future with some confidence. The outlook is for unemployment to remain at its current low levels, wages to increase by a little over 3.5 percent a year on average and inflation to remain within the Reserve Bank's 0 to 3 percent target range," Georgina Beyer said.
"Budgets came to be feared in the 1980s and 1990s because finance ministers used them as vehicles to push through radical change which disrupted people's lives. This budget by contrast, is about giving people a secure framework in which to plan.
"Last year's budget made a payment of $600 million into the New Zealand Superannuation Fund. This year, we will put in a further $1.2 billion. This will be followed by contributions over the next three years of $1.8 billion, $2 billion and $2.1 billion respectively. Treasury estimates are that within five years, the Fund will have built to almost $9 billion.
"The purpose of the Fund is to begin saving now to avoid the need for big cuts to New Zealand Super when the large baby boom generation enters retirement.
"Other ways in which the budget seeks to reinforce a sense of security among New Zealanders is through a $212 million boost over three years across the police, the courts and the Department of Corrections and through a series of well-targeted initiatives to deal with youth offending.
"This government believes strongly that economic opportunity combined with social security are the basis of a successful society.
"Budget 2002 reflects this commitment. It is a budget of which any government could be proud," Georgina Beyer said.
|
|
|
