NZ Budget Dips Again
November 6, 2015 New Zealand Taxation
The New Zealand government is in a better financial position than previously forecast, despite returning back to a deficit.
On November 6th the Treasury of New Zealand issued a new statement to announce that the government has returned to a budget deficit, although it is smaller than previously forecast.
The operating balance before gains and losses reached a deficit of NZD 545 million for the three months ending 30 September 2015.
However, the deficit is still NZD 253 million lower than expected for the period.
The better-than-forecast results were attributed to “…higher tax receipts as well as lower operating and capital payments than forecast.”
It was also stated that the results can be partially attributed to a drop in the outstanding liabilities by the ACC.
The net debt of the government was also lower than expected, reaching a level of NZD 62.8 billion, NZD 1.9 billion less than expected.
By: Nick Kean