Read this article and than watch the video “Money is debt” and you will understand why the National party, lead by an investment banker would say this. Maybe you will draw the conclusion like me that John Key is still serving his old masters: the money masters.
He should of course be serving us, the people of new Zealand.
National finance spokesman Bill English has signalled his party would increase government borrowing to invest in infrastructure such as roads and water.
English told the Sunday Star-Times the move was viable because government borrowing was lower than headline figures suggested, and using debt would allow investment costs to be spread over many years.
“Our debt is in pretty good shape, but it’s in significantly better shape than it looks. So there is no debt problem and hoarding cash as if you did has become a pretty severely limiting factor in future investing,” he said.
The Labour-led government had set a target gross debt level of 20 per cent of GDP, but an accounting anomaly meant actual debt was well below this figure, said English.