National will strengthen the Public Finance Act so there are more checks and balances on Government spending decisions, and how they affect future generations.
The Government is also proposing to cap spending increases to the level of inflation and population growth as a new principle of responsible fiscal management.
In times of surplus, governments come under pressure to increase spending, which can put extra pressure on the economy, leading to higher inflation, higher interest rates, and a higher exchange rate. This is bad for exports and jobs.
For more information see:
Posts
No comments:
Post a Comment