The number of people signed up for KiwiSaver has passed the 380,000 mark and ministers say the result for the first six months has exceeded expectations.
"The verdict on KiwiSaver is in," Finance Minister Michael Cullen said today.
"New Zealanders want to save for a better retirement andthey know KiwiSaver makes that easier than ever before."
Dr Cullen said there were 381,000 KiwiSavers on December 31 compared with initial forecasts of 276,000 by July 1 this year.
The scheme helps people by adding to their own savings and Revenue Minister Peter Dunne said more than $300 million had been transferred into KiwiSaver accounts since it was launched on July 1 last year.
"One of the things that is particularly exciting is the continued popularity of KiwiSaver among younger New Zealanders," Mr Dunne said.
"Over 55 per cent of KiwiSavers are under 45 years old and over 20 per cent are younger than 25 years old."
Dr Cullen said KiwiSaver would address imbalances in the economy, create a domestic pool of capital to help local businesses expand and succeed, and would lift living standards in retirement.
"New Zealand has a savings problem," he said.
"We were recently ranked 108 out of 131 countries for our national savings rate.
"If that poor performance were to continue the consequences for our economy and for our living standards in retirement would be significant."
