New Zealand increases the bond program at 4,000 million NZ $ for four years

New Zealand finance minister Nicola Willis presents the country’s budget on Thursday, with the points highlighted below.

• New Zealand foresees an operational surplus for 2024/25 before profits and losses of NZ $ -14.74 billion (HYEFU NZ $ -17.32 billion).
• New Zealand foresees an Obegal surplus/deficit by 2025/26 of NZ $ -15.60 billion (HYEFU NZ $ -14.10 billion).
• New Zealand provides that the net debt by 2024/25 be 42.7% of GDP (HYEFU 45.1%).
• New Zealand cash balance for 2024/25 of NZ $ -9.99 billion (HYEFU NZ $ -16.61 billion).
• New Zealand foresees a GDP of -0.8% by 2024/25 (HYEFU +0.5%).
• The government does not foresee an obegal surplus in the next five fiscal years.
• Commercial tariffs will affect the rhythm of economic recovery.
• Inflation in New Zealand is expected to remain within the target range of 1% to 3% over the next five years.
• New Zealand GDP is expected to grow 2.9% in 2025/26, 3.0% in 2026/27.

Market reaction

The New Zealand dollar (NZD) is still impressed by the publication of the budget, quoting 0.25% lower on the day about 0.5925, at the time of writing.