WELLINGTON, Dec. 11 (Xinhua) -- The New Zealand government is forecast to run 12 billion New Zealand dollars' worth of surpluses across the four years to 2023/24, announced Finance Minister Grant Robertson at Wednesday's half-year economic and fiscal update.
The New Zealand economy is forecast to grow on average at 2.5 percent over the next four years. Across the four years from 2020/21 to 2023/24, the annual government surplus is forecast to rise to 1.5 percent of New Zealand GDP. New Zealand government believes that this will deliver a total of 12 billion NZ dollars of revenue surpluses.
"The government has committed to running a sustainable surplus across an economic cycle, and today's forecasts show we are delivering on that," Robertson said.
The new forecasts were released alongside a 12 billion NZ dollars infrastructure investment plan, which will see 8 billion NZ dollars allocated for specific capital projects and 4 billion NZ dollars added to the multi-year capital allowance.
Meanwhile, the New Zealand government said it is investing in priority areas such as health, education, housing and social programmes to address New Zealand's long-term challenges. Detailed funding projects are to be released in early 2020.
"Budget 2020 will continue to focus on tackling the long-term challenges facing New Zealand while also investing to future-proof the economy", said Robertson.
In 2019, the New Zealand government released a "wellbeing" budget, which promised billions to care for the most vulnerable. (1 New Zealand dollar equals 0.66 U.S. dollar)
