Hon Nicola Willis
Minister of Finance

The Government’s financial results for the first three months of the year are weaker than forecast and reinforce the need to drive growth and maintain careful spending, Finance Minister Nicola Willis says.

The financial statements for the three months to 30 September 2024 show key fiscal indicators were weaker than forecast at the Budget in May with the total Crown operating balance before gains and losses (OBEGAL) deficit $0.7 billion larger than expected at $4.2 billion.

Net core Crown debt was also $0.7 billion larger than expected at $177.6 billion.

“The numbers reinforce the need to continue exercising fiscal restraint, get better value for money and drive growth,” Nicola Willis says.

“They also highlight the uncertainty and potential risks associated with forecasting.

“The results show that we have slowed the growth of government expenditure, however, it is going to take time to repair the damage caused by the previous government’s financial mismanagement.

“In just six years our predecessors increased net debt by $118 billion – the equivalent of $22,000 for every person in New Zealand.

“We are determined to get the books back in order by prioritising spending that truly benefits Kiwis, creating an environment where businesses can thrive and building a stronger, more resilient economy for everyone.”

New forecasts will be released on 17 December alongside the Half Year Economic and Fiscal Update and Budget Policy Statement.

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