"Rebuilding Together": Govt's budget unveils a whopping $50 billion funds for economic recovery

• $50bn fund to deliver COVID response and economic recovery plan at centre of jobs budget
• $4bn business support package, including targeted $3.2bn wage subsidy extension
• $3bn infrastructure investment and 8,000 public house build programme to boost productivity and create jobs
• $1.4bn for trades and apprenticeships training package
• $1bn environmental jobs package
• $3.3bn new funding to strengthen core services including health and education

The $50 billion fund being announced today will grow jobs and support New Zealanders and the economy through the effects of COVID-19 and the global recession.

At this Budget, the COVID Response and Recovery Fund will invest in a targeted wage subsidy extension, free training and apprenticeships, an 8,000 state and transitional house build programme, $3bn for infrastructure development, job-rich environmental projects and support for SMEs, exporters and entrepreneurs to grow the economy.

“Today is about jobs. It’s about creating new jobs and it’s about preparing people for new jobs,” Grant Robertson said.

New Treasury forecasts incorporating the fiscal stimulus announced today show:

• Up to 140,000 jobs saved over the next two years, and employment growth of 370,000 supported over four years.
• Unemployment can be reduced from a peak of 9.6% in June 2020 to the current 4.2% rate within two years
• The economy could start growing again in the year beginning 1 July 2020
• The Government is planning a similar return-to-surplus track to the previous Government following the GFC and Canterbury earthquakes