11. Hon DAVID PARKER (Labour) Link to this
to the Minister of Finance
Does he agree that, but for the strategic asset test introduced by Labour, any overseas purchaser of a New Zealand business not including sensitive land only has to have money, have run a business, show “good character”, and not be an ineligible individual under the Immigration Act 1987?
Hon BILL ENGLISH (Minister of Finance) Link to this
No, this test has no bearing on those purchasers, as it applies only to investments in sensitive land.
Does he agree that infrastructure businesses with monopoly characteristics just about always turn a profit and are strategically important to the functioning of the wider economy?
That may be the case, but I suggest that the member review the legislation, which I think he may have been in charge of before, because the strategic asset test applies to sensitive land, not to businesses.
Does the Minister agree that it is important that the Government have discretion to decline the sale of infrastructure assets to overseas owners?
The Government has to apply the law as this Parliament has passed it, and as reinforced by regulation. Again, I recommend that the member review that law, because I am not sure that he is representing it correctly.
Given the conflicting messages that we are getting from the Minister as to loosening the foreign investment rules, and from the Prime Minister about tightening them, could the Minister please tell the House whether he intends to loosen foreign investment rules or tighten them?
What we have said publicly is that we have been reviewing them with the intent of ensuring that New Zealanders are able to feel that those things they think are important about New Zealand are, on the one hand, protected; but, on the other hand, that we accept the reality that in order to have jobs and incomes in New Zealand we need to have foreign investment.