Action not aspiration

Action not aspiration

The New Zealand Manufacturers and Exporters Association (MEA) is critical of the Government’s refusal to put into clear actions its commitment to lead New Zealand back into the top half of the OECD rankings in the wake of the latest Economic Development Indicators report.

“The Government is fond of talking about its plans for transforming the economy, yet once again, it is tinkering around the edges rather than providing a solid policy framework that will deliver solid outcomes. The omission of a possible timeframe or any solid policy for getting New Zealand into the top half of the OECD rankings provides the Government with a ‘get out of jail free card’”, says Chief Executive John Walley.

Mr. Walley says that economic transformation and growth will not happen overnight, and headlines constantly tell of manufacturers, exporters and people leaving New Zealand, show a completely opposite trend. We really do need to stop bleeding before we get better. Productivity is stagnant because our policy framework makes it so. This needs to be dealt with, not hidden under a blanket of aspirations. Wishful thinking is simply not up to the task.

“The Government can choose to bring balance into the economy and can choose to support the tradable sector but high labour participation rates will drive not productivity or close the GDP per capita gap. Productivity will follow productive investment; productive investment will follow policy changes that make those investments more attractive”.

“New Zealand wage levels will only start to match those in Australia and other OECD countries if we boost growth within our industrial and exporting sectors”, says Mr. Walley.

MEA – the authentic and independent voice for manufacturers and exporters.

ENDS

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