Barry Maggie: Questions for Oral Answer — Questions to Ministers 
Text is incorporated into the Bound Volume 
Barry Maggie: Questions for Oral Answer — Questions to Ministers 
[Sitting date: 14 June 2012. Volume:680;Page:2985. Text is incorporated into the Bound Volume.] 
3. 
MAGGIE BARRY (National—North Shore) 
 to the  
Minister of Finance 
: How is the Government assisting households and competitive businesses through these tough world economic times? 
Hon STEVEN JOYCE (Acting Minister of Finance) 
: 
 The Reserve Bank reminded us again this morning just how tough world economic times are: “Economic and political stresses in the euro area have been rising” and “the euro area [is projected to] remain in recession for the rest of 2012 and recover only modestly thereafter.” However with responsible fiscal management the Government is very focused on getting its own books in order and one of the benefits of that is the official cash rate being lower than it otherwise would be if Government borrowing was higher and debt was rising unsustainably. Lower interest rates flow through to cheaper borrowing costs for households and businesses which saves millions and millions in extra interest costs. 
Maggie Barry 
: What else is the Government doing to assist households and competitive businesses? 
Hon STEVEN JOYCE 
: The Government is implementing its comprehensive business growth agenda which the Opposition would like to stop in order to provide the right environment for competitive businesses to get ahead. The Government is working hard to make New Zealand an attractive place to do business. We have improved the country’s tax structure; we are taking steps to increase investment in science and innovation; in the skills area we are training more university students than ever before; we are investing heavily in core infrastructure like roads rail and broadband; and we are moving to provide easier access to capital natural resources and export markets. All of these initiatives are ones that are opposed the strongest by those who complain the loudest— 
Grant Robertson 
: I raise a point of order Mr Speaker. I invite the Minister to table that answer which he was clearly reading out. 
Mr SPEAKER 
: Order! The answer was somewhat lengthy. I accept that. 
Hon David Parker 
: Is it correct that the Reserve Bank has reduced its forecasts for growth in New Zealand’s GDP to an even smaller fraction of the average growth rates projected for our 16 main trading partners has decreased its forecasts of underlying productivity growth and has forecast an increased external deficit and rising net international liabilities; if so is he ready to accept that it was unwise of the Prime Minister to title his pre-Budget speech “Budget 2012—sticking to a plan that’s working”? 
Hon STEVEN JOYCE 
: I do not agree with the member at all. The last two matters that he raises have been in most of the summaries going forward. In terms of the first two I think the point that is being made once again by the Reserve Bank is just how volatile it is to do forecasts at this time. I would note that the Governor of the Reserve Bank is in the difficult position of having to produce a Monetary Policy Statement ahead of the Greek elections this weekend which could have a significant impact on the short to medium-term economic prospects for the whole world. 
Hon David Cunliffe 
: It’s all about Greece. 
Hon STEVEN JOYCE 
: I appreciate again that the Opposition likes to pretend that the world does not exist but out here in the real world it actually does exist and the Government responds appropriately to it.