New Zealand Finance Minister Nicola Willis presents the nation’s Budget on Thursday, with the key highlights noted below.
- NZ sees 2024/25 operating surplus before gains, losses NZ$-14.74 bln (HYEFU NZ$-17.32bln).
- NZ sees 2025/26 OBEGAL surplus/deficit NZ$-15.60 bln (HYEFU NZ$-14.10bln).
- NZ sees 2024/25 net debt 42.7% of GDP (HYEFU 45.1%).
- NZ 2024/25 cash balance NZ$-9.99 bln (HYEFU NZ$-16.61bln).
- NZ sees 2024/25 GDP -0.8% (HYEFU +0.5%).
- Govt does not forecast OBEGAL surplus in next five fiscal years.
- Trade tariffs to impact pace of economic recovery.
- NZ inflation forecast to remain within target band of 1% to 3% over next five years.
- NZ GDP forecast growing 2.9% in 2025/26, 3.0% in 2026/27.
Market reaction
The New Zealand Dollar (NZD) remains little impressed by the Budget Release, trading 0.25% lower on the day near 0.5925, as of writing.