1. Question No. 1—FinanceJOSEPH MOONEY (National—Southland) to the Minister of FinanceORAL QUESTIONSQUESTIONS TO MINISTERSQuestion No. 1—Finance1. JOSEPH MOONEY (National—Southland) to the Minister of Finance: Has she seen any recent reports on the New Zealand economy?Hon NICOLA WILLIS (Minister of Finance): Yes. The IMF has recently been in New Zealand to conduct its annual review of the economy. It released a concluding statement today that describes its preliminary findings. Consistent with other forecasters the IMF expects growth to remain slow in 2024 before picking up in 2025. It's the lagged impact: the legacy of the last Government of monetary policy tightening suppressing domestic demand. As a result of this slowing in demand the IMF expects inflation to come back into the Reserve Bank's 1 percent to 3 percent target range in the third quarter of 2024.SPEAKER: Joseph Mooney.Joseph Mooney: [Looks at phone] My apologies Mr Speaker—[Interruption]SPEAKER: What's that sorry?Joseph Mooney: What other—[Interruption] Supplementary question Mr Speaker. SPEAKER: Hang on a moment.Joseph Mooney: What other reports has the Minister seen?Hon NICOLA WILLIS: Well thank you to the member. He's allowed to ask me any question he likes about the IMF report because I have a lot of comments to make about it. One of the things the IMF report comments on is New Zealand's fiscal position saying that the Government is running a structural fiscal deficit with a spending-to-GDP ratio higher this year following Budget 2023's sizeable operating and capital allowances. The IMF also says that in recent years debt has increased more rapidly in New Zealand than in many other advanced economies and that New Zealand's debt will continue its upward trajectory if there is no decisive consolidation. Members will recall that I have consistently been saying the same thing about New Zealand's deficit and debt in this House.Rt Hon Chris Hipkins: Point of order Mr Speaker. Mr Speaker I understand there's a little bit of a pantomime that goes on when it comes to Government questions. But a member getting out of their seat to go and ask a Minister what question they're allowed to ask in the middle of trying to ask a question somewhat makes a mockery of the Parliament's process.SPEAKER: Firstly you've probably lost the point of order on the opening statement with regards to pantomime"—sympathetic as one might be to that suggestion. But it's also not possible even with your considerable amount of skill to have lip-read what was actually being said when someone had their back to you. So a point is made.Hon David Seymour: How do these levels of debt fit within wider time frames over several decades or even as long as the Deputy Prime Minister's lifetime?Hon NICOLA WILLIS: Well as I outlined to this House yesterday New Zealand's debt levels are now at a level that we haven't seen since the late 80s mid-1990s.Joseph Mooney: What are the IMF's policy prescriptions that she's seen?Hon NICOLA WILLIS: The IMF says that the Government's fiscal strategy should signal a strong commitment to consolidation and it says that Budget 2024 should adopt a tight fiscal stance to help reduce inflation. More broadly the IMF's statement says that policies to boost housing supply are urgently needed and that changes in zoning can be effective. I'm sure my colleague the Minister of Housing clearly agrees wholeheartedly. The IMF also goes on to say that reforms are needed to revive New Zealand's slow productivity growth.Joseph Mooney: How is the Government planning on addressing New Zealand's productivity challenges?Hon NICOLA WILLIS: Last Friday I set out the Government's growth strategy in a speech to the Auckland Business Chamber. The strategy has five pillars: building infrastructure for growth and resilience; lifting educational achievement and skills; strengthening trade and investment; promoting innovation science and technology; and improving regulation. The Government cannot do this alone; it requires businesses to pitch in as well and feedback is that business welcomes the chance to work with a Government intent on removing obstacles rather than tying them up in regulation and red tape."