The silver lining is that New Zealand could weather it better than most, the former ANZ chief economist says. "Normally when the global economy goes pear-shaped, governments borrow a lot of money and they run expansionary fiscal policy by building infrastructure to try to stoke demand." However, he said the New Zealand Government had a "hit" plan, not a growth plan. "The New Zealand economy at the moment has slowed from 4% to 2.1% and there are nuances that things are slowing even further, potentially headed to 1.5% in the next six months. He believes the Government needs to spend more money and deliver around an economic plan.

Source: Otago Daily Times October 06, 2019 15:33 UTC