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Home / Business / Companies / Retail

Business reacts: Bill English as PM

NZ Herald
12 Dec, 2016 07:45 AM2 mins to read

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Prime Minister Bill English and Deputy Prime Minister Paula Bennett after their caucus meeting at Parliament, Wellington. Photo / Mark Mitchell

Prime Minister Bill English and Deputy Prime Minister Paula Bennett after their caucus meeting at Parliament, Wellington. Photo / Mark Mitchell

The business community has welcomed Bill English's appointment to Prime Minister.

Employers and Manufacturers Association chief executive Kim Campbell said the organisation looked forward to working with Bill English and Deputy Prime Minister Paula Bennet.

"With the New Zealand economy in sound shape, and the growth forecasts looking like they'll be north of 3 per cent next year, the prospects for business are positive heading into 2017.

"However, with growth comes challenges. We see that in the skills shortage, we see that with infrastructure investment and around having an environment which enables growth.

"We look forward to working with Mr English and his team in regard to these business challenges," Campbell said.

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Changes in economic policy are likely to be modest, said ASB chief economist Nick Tuffley, but business confidence could dip while the community grasps what a Bill English government might look like.

"English has had a significant input into economic and fiscal policy settings under Key's leadership. However, it does create added uncertainty about the election result next year and could throw the current NZ Superannuation scheme settings back onto the table for debate," Tuffley said.

With New Zealand's economy in reasonably sound shape, international shocks remain the biggest threat to country's fiscal health, said Tuffley.

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"First and foremost, Thursday's US Federal Reserve rate announcement brings with it the first and much anticipated rate increase for 2016 (markets are pricing a near 100% chance of a rate hike this week)," he said.

Catherine Beard, chief executive of ExportNZ, said the exporting community will be very happy with Bill English's appointment, as he's very likely to continue the current policies in place which include doubling NZ exports by 2025.

Beard's only reservation was that she hopes English will prove to as skilled a diplomat as former Prime Minister John Key in trade missions.

"In Asia particularly, business and politics are more entwined and the Prime Minister can really help open doors there," Beard said.

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Bill English has been a great economic steward, said Beard, who's work is strongly appreciated by the business and export community.

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