Articles tagged MFAT

Controversial changes to the rules governing overseas investment will soon take effect after being passed by Parliament this week. Businesses now need to consider how to best work with the new rules. Andrew Petersen and Glenn Shewan from Bell Gully take a look how the new regime may affect commercial transactions.

The Government cannot deny any more that the economy is slowing and that it's not doing enough to stimulate investment and reassure the construction sector in particular, Bernard Hickey argues.

The key events in our political economy this week included still-low inflation figures keeping interest rates on hold for at least another year, house price inflation bubbling along outside of Auckland and Christchurch and worsening a productivity problem, the re-emergence of a debate over whether councils should collect and spend income and consumption taxes, and Donald Trump's tearing up of the American-led post-war order that is forcing Europe and others, including ourselves, to look for alternative trade and security partners.

Former MP Peter Dunne asks why the Foreign Minister and Defence Minister have chosen to provoke China and Russia in their latest Defence Review. He sees it as a spurious, vainglorious and risky move for a small trading nation.

The Reserve Bank held interest rates at record lows and repeated its neutral view that it could either raise or cut rates. Business confidence fell again back to its post-election low. Labour scrapped its KiwiBuild visa policy forcing employers to take on an apprentice for each migrant. Instead, it will streamline the hiring of migrant workers to fill a 30,000 construction workers shortage. Shane Jones said John Key lobbied him to exempt the Te Arai land development from foreign buyer rules.

Donald Trump's moves to pull out of the Iranian nuclear deal and start trade wars with Europe and China created further fallout for oil prices and Harley Davidson. Winston Peters said he wanted houses to be affordable for people on the living wage, but only if house prices did not fall. That would imply a 100 year wait for Aucklanders on the living wage.

The big news in the political economy this morning is the growing fear that US President Donald Trump's trade war with China and Europe is now hurting global economic growth and could cause a recession.