The New Zealand government logged a bigger than expected surplus during seven months to January, figures published by the treasury showed Friday.
The operating balance before gains and losses was a surplus of NZ$934 million for the seven months to January, which was NZ$724 million higher than forecast. In the same period last year, the surplus was NZ$77 million.
At NZ$42.5 billion, core crown revenue was NZ$200 million higher than forecast with higher than expected core tax revenue.
At the same time, core crown expenses were NZ$403 million lower than forecast primarily due to timing differences relating to items such as Treaty settlements.
Finance Minister Bill English said, “Having the books back around surplus demonstrates the benefits of the prudent financial approach this Government is taking.”
“We don’t read too much into any particular month’s result. We will continue to focus on keeping a tight rein on spending and paying down debt – we’re working hard to reduce net Government debt to around 20 percent of GDP in 2020,” English added.
The material has been provided by InstaForex Company – www.instaforex.com