PM Post-Cabinet Press Conference - 11 November 2013

Click for big version.

The Prime Minister held a press conference with Bill English today to give an update on the economy and the government's fiscal positions. Key also spoke to reporters about the government's attendance at the Commonwealth Heads of Government Meeting (CHOGM) being held in Sri Lanka, and issues surrounding the Roastbusters case.

English reported that the economy grew by 2.5% last year. He said there are forecasts for similar growth rates over the next two years, which would put New Zealand among the world's strongest economies. Unemployment came down further this year, with increasing workforce participation. English claims the government are on track for surplus in 2014-2015, although net core crown debt has risen from $10 billion to $60 billion from 2008 until present. It's likely that the surplus will be small, eliminating much flexibility when it comes to election year promises.

When asked what the single greatest potential obstacle to surplus was, English cited market volatility, and that accounting for the impact of large growth of financial assets is unpredictable, like "trying to land on a penny in the middle of a storm." When asked if the government regretted the surplus targets they had set, since they had not reached them, English said that the targets had proven to be an effective anchor both for public expectations and for politicians.

Despite concerns raised about human rights issues in Sri Lanka, Key will not be boycotting CHOGM. He believes that having New Zealand attend the conference would allow them to raise their concerns directly with the Sri Lankan government. He will address the president on what took place during the civil war, the government's engagament with Tamils, and their recent dismissal of a Supreme Court judge.

Several journalists enquired whether Key would be following recommendations by the law commission and by Simon Power with regard to sexual violence laws, in the wake of the Roastbusters incident. However, it was unclear what changes the government would be willing to make. When asked whether, the government would revise the cutbacks made to sexual violence survivor support services since 2008, Key said that certain agencies had functional problems which resulted in their defunding. When asked in a general sense about what these problems were, he said that each agency was different, but when asked about specific agencies could not provide specific examples.

Key appeared reluctant to extend any primary rape prevention resources into high school (i.e. to prevent rape from happening at all, rather than catching criminals afterwards). He said that it's important to strike a balance between parents who want more education and those who think that it would cross acceptable boundaries.

Other issues discussed included MPs using their accommodation allowance for property investment, and compensation for Pike River families.

Click for big version.

Click for big version.

ENDS

© Scoop Media