9. AARON GILMORE (National) Link to this
to the Minister for Economic Development
What steps has the Government taken to stimulate export growth and mitigate trade finance risks?
Hon GERRY BROWNLEE (Minister for Economic Development) Link to this
In February the Government approved for the New Zealand Export Credit Office a new product called short-term credit insurance. The new product will guarantee exporters payment for their consignments. The New Zealand Export Credit Office now offers a complete range of guarantee-only export credit agency products.
Hon GERRY BROWNLEE Link to this
Yes. I am advised that since the new short-term guarantee product was announced the New Zealand Export Credit Office has received 50 applications seeking Crown guarantees, totalling some $47.7 million, and seven bank inquiries for guarantees, totalling $5.9 million. The net effect of those guarantees would support export sales of $125 million that might otherwise be lost to the New Zealand economy.
Hon GERRY BROWNLEE Link to this
Yes. The New Zealand Export Credit Office has been talking to banks to promote the scheme, working with New Zealand Trade and Enterprise to ensure information about it is out in the market place, and presenting to industry organisations such as Business New Zealand, Export New Zealand, and the Chamber of Commerce. This Government is backing our exporters in a difficult time.
Hon Shane JonesIs the real reason such initiatives as the research and development tax credit scheme and other economic development initiatives were scrapped that, as quoted by Rod Oram, the Minister “had done no thinking about economic development. And … had not expected …” to be indulged with this job?
Hon GERRY BROWNLEE Link to this
No. I would advise that member that if he really wants to know about what is going on in the economy he should not rely on Rod Oram for factual information.
Will the Minister concede that it is actually initiatives like the Fast Forward Fund—in the event that he is aware of it—which was ditched by his Government, that stimulate economic growth; or was he so idle while in Opposition that he does not have any understanding? Is he likely to seek advice from the last character in his party who held the role, Max Bradford?
Hon GERRY BROWNLEE Link to this
There was no Fast Forward Fund; there was simply a name. Like everything the previous Labour Government did there was a title but no funding. So my answer is simply no.