The New Zealand government is requiring public agencies to find permanent savings including through cutting back on contractors, in the face of a deteriorating global economy and tax revenue failing to meet Treasury’s forecasts.
The government is also reducing future budget allowances, trimming back some programs, and taking back underspends, Finance Minister Grant Robertson said at a press conference on Monday.
The savings and efficiency exercise will save taxpayers nearly 4 billion NZ dollars (2.36 billion U.S. dollars) over the forecast period, Robertson said.
The government’s published accounts for the 11 months to the end of May.—APP
