Blow-out expected as govt deficit widens

Finance minister Nicola Willis, with PM Christopher Luxon, have accused the previous government of leaving "nasty surprises" in the books. (Image: NZME)

Staff reporters

Tue, 05 Dec 2023

The government’s widening operating deficit is tracking in line with expectations of a blow-out in the June 2024 year, with rising interest rates boosting both sides of the crown’s cost and revenue ledger.The operating balance before gains and losses was a deficit of $3.85 billion in four months ended Oct 31, just $91 million more than the Treasury’s pre-election forecast, though wider than the $2.79b deficit reported a year earlier. The Labour government was preparing for an operating deficit of $11.38b in the...

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