Mood of the Boardroom: NZ should get back on the international radar

Lloyd Morrison. Photo / Mark Mitchell

LLOYD MORRISON
H.R.L. MORRISON

Lloyd Morrison says it's time for the country's political leaders to commit themselves to getting New Zealand back on the international radar screen.

A recent trip to Europe opened Morrison's eyes to the urgent need to market a new "New Zealand story" - one that focuses on the long-term growth potential for NZ as a major food producer and window into Asia, and not the decades old "New Zealand Experiment" in the 1980s which fascinated commentators from the Economist and Financial Times who were taken by the breathtaking pace of Kiwi deregulation.

"New Zealand, in a relative sense, is probably better placed than it has been for a number of years. But what was noticeable in Europe is that nobody cares or is interested."

He says Finance Minister Bill English's recent Budget was "incredibly good" compared to those undertaken by overseas governments.

"You do need to have some recognition of it outside of NZ because our capital markets are woefully thin. And we will need support from offshore investors if we are actually to get some momentum going.

"But as far as I could make out, it was totally lost on the world."

Morrison argues it's up to the Government's prime political leaders to make sure it tells the NZ story internationally. "So, that's guys like Key and English in particular talking about our position, being positive about our outlook and getting us back on the radar.

"It won't happen if these guys just do political junkets."

He says top ministers have to prioritise getting a media following. They must think in terms of leverage with a conversation or story - 'How much coverage can I get?'

"It needs to go quite a lot wider than just one on one economic conversations with governments and ministers offshore."

Morrison justifies his stance by pointing out that the high profile NZ enjoyed was reflected for a number of years in the capital markets because people "picked us" as having structurally a good economy and some resolve to improve its growth and performance. "And of course what's happened subsequently is our lack of commitment to that has burnt-off interest.

"The fact is we are a very small economy and we have to be extraordinary before anybody notices us.

"Our position at the moment - somewhat through luck and a little bit through good management means that we are in a relatively very strong position given the continued improvement in terms of Asian wealth."

Morrison, an ardent NZ advocate, has previously launched campaigns to establish measurable goals to score this country's economic performance, and also a new flag. A marketer to his core, he also argues that it's important everyone in New Zealand understands a profile is very important for a small nation of 4.3 million people.

"We need the Economist, the Financial Times and Bloomberg - good high quality media - saying actually NZ is quite interesting. It is a window into Asia. It is only a small economy but it has the ingredients for long term success as a result of Asia.

"It's stable, has improving infrastructure, has a good educational base. It needs to earn more wealth but the chances of it doing so seem to be quite good in the next 20-30 years."

Morrison also expects there will be a new wave of privatisations in OECD countries as Governments try to close their big deficits which will help recreate the acceptability for New Zealand to introduce private participation in state-owned assets.

"I don't think we've ever had the spine to go out there and do it individually," he notes.

"And I doubt that the politicians have changed that much."

He maintains a strongly capitalised Kiwibank would continue to elicit a very competitive response from the Australian trading banks in this country.

"It seems to me to be enormously worthwhile and it doesn't make sense that the Government should have to fund it from its existing coffers."

"I find it really unacceptable that the Left categorise it as a return to what we did in the 1980s, because it's nothing like that, and while it actually affects the whole electorate the paucity of capital that the Government is able to spend supporting organisations like Kiwibank hinders growth.

"I really find that overly tribal and not objective which is a pity. It is the equivalent to the approach Fox News and GOP (Republican Party) have taken to Obama. Not what's best for America - what's best for taking to Obama.

"I think that on issues like recapitalising Kiwibank, the Left here are more interested in garnering votes; fear-mongering rather than delivering what's good for the country."