The New Zealand government announce the 2015 Budget today. Scheduled at 0200GMT
The budget is unlikely to have much of an impact on the NZD
NZ is on track towards a budget surplus and this path is expected to be maintained. Timing may be pushed out a little, though. It would seem unlikely that a surplus will be achieved by June 30.
The latest Treasury forecast is for a deficit of $NZ572m (this is from December 2014 forecasts)
Factors weighing on the NZ economy, and which will impact on budget revenue, are:
- Continued dairy prices fall (around 6 years lows)
- Slower growth in NZ's biggest export destinations of Australia and China
