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Statement of Intent 2009-12 - The Treasury

Strategic Direction

The Government priorities

We have revised our strategic direction for the period covered by this Statement of Intent (SOI) in light of the current economic and fiscal environment.

The Government has signalled three priorities for the Treasury for the next few years and these priorities underpin the strategic direction. The Government's main priorities are:

  • managing New Zealand's path through the economic downturn - reducing the impact and putting New Zealand in a strong position to take advantage of better economic times
  • making government investment and expenditure more productive and effective, and
  • making the New Zealand economy more productive, and in particular, improving regulations and improving our investment in national infrastructure.

Taking into account the Government's priorities, we defined the five Treasury priorities listed below. Focusing on these over the next three years will not only ensure that the Treasury meets the Government's needs and expectations, and monitors progress along the way, but that we build and maintain clear connections between these priorities and the broader base of our work programme.

Treasury's five priorities for 2009-2012
Treasury's five priorities for 2009-2012
NB: The symbols in the table below are used in the diagram on pages 10 and 11 to highlight those parts of the Treasury's work programme that are strongly connected with the delivery of these priorities over the next three years.
* Financial crisis response, including medium-term fiscal consolidation, including the wholesale and deposit guarantee schemes Outcomes it contributes directly to: Economic and Macroeconomic performance

Scope of the priority:

  • Managing through the current situation, including monitoring and preparing for downside risks and identifying opportunities
  • Formulating and helping to deliver the Government's fiscal strategy and macroeconomic response to maintain stability and confidence, while also unwinding imbalances
  • Ensuring a stable and liquid financial system including: implementation; operation; risk management; development of the Crown's Wholesale Guarantee Facility and Deposit Guarantee Scheme; and developing contingency measures to support the financial system if needed
  • Interventions to support smooth transition for firms and individuals
Economic (productivity) strategy over the term of the SOI Outcomes it contributes directly to: Economic, State sector and Macroeconomic performance

Scope of the priority:

  • Regulatory quality and regulation review agenda (including the Resource Management Act 1991, the Commerce Act 1986, the Employment Relations Act 2000, and electricity regulation)
  • Identifying opportunities for structural change and changes in policy to support higher growth
  • Advancing economic opportunities/managing risks around natural resource management: management of water resources; climate change obligations and policies
  • Enhancing New Zealand's collective skill base
State sector performance – in particular: the effective and efficient performance within a sustainable fiscal track Outcomes it contributes directly to: State sector, Economic and Macroeconomic performance

Scope of the priority:

  • Use of the annual performance cycle, including accountability tools, to achieve government objectives
  • Advice on performance and policy issues where there are significant economic, fiscal or regulatory impacts
  • Measures to achieve a sustainable fiscal pathway in terms of government expenditure in the short and long term
Balance sheet risk monitoring and management Outcomes it contributes directly to: Macroeconomic, Economic and State sector performance

Scope of the priority:

  • Macro tools to assess and monitor aggregate risks and opportunities
  • Improved monitoring and management of CFIs, SOEs, some Crown entities
Infrastructure Outcomes it contributes directly to: Economic and State sector performance

Scope of the priority:

  • Development of initial national infrastructure plan
  • Advising on the Government's investment in specific infrastructure projects
  • Providing frameworks/guidance/support across the public sector regarding capital asset management and public-private partnerships
  • Working with and through lead agencies and institutions to give effect to the Government's objectives for better economic and social infrastructure, and better value for money
  • Working with other agencies to implement new approaches to infrastructure procurement
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