The NZ Budget 2011 was announced on Thursday 19 May, and highlights included:
- The 2011 Budget focused heavily on cost-cutting measures, to establish the path for a return to surpluses and make some key programmes more aff ordable over the longer term.
- The deficit will reach a record $16.7bn this year (8.4% of GDP), due to a revenue shortfall and some significant up-front costs. However, various cost-cutting initiatives will kick in significantly by 2013, bringing the Budget back into surplus by June 2015.
- A tighter fiscal stance over the next few years suggests a more moderate GDP growth and interest rate profile than we had assumed.
For more info on the 2011 Budget read the report below:
