Maori Party proposes community development bank

The Maori Party has proposed a community development bank which would provide loans to Maori and their small businesses. Photo / Paul Estcourt

The Maori Party wants to set up a community development bank to provide loans to Maori and their small businesses.

The development bank would be funded from money already being channelled to Maori through the Economic Development Ministry.

Maori Party co-leader Tariana Turia said there were small scale examples of the community bank in Wanganui where she is MP.

Mrs Turia said small businesses owned by Maori found it difficult to access loans to set up and expand.

The Government had proposed setting up a Maori development bank earlier this year, but the legislation failed because the Maori Party and others objected to it being set up from money held by the Maori Trustee.

The Maori Party has also called for a reduction in business tax from 30 per cent to 25 per cent for all businesses with a net income of under $100,000 year.

Other economic policy includes zero tax on the first $25,000 of earnings and removing GST from food.

The party provided no costings for its policy proposals.

- NZPA