The Treasury

Global Navigation

Personal tools

Treasury
Publication

Investing for New Zealand: Insights from 2015/16

Introduction

The Government is investing in 508 significant projects, with a combined whole-of-life cost of $87 billion. These investments are being delivered by 53 agencies, across 11 sectors, and 38% of them are being worked on collaboratively. In addition, government uses fixed assets worth $93 billion to provide public services and enable social and economic development.

These investments and assets help enable New Zealanders to move around the country, connect, learn, stay safe, and live healthy lives, and supporting agencies to manage them well is central to the Treasury's work to increase living standards.

Good investment management means using our resources effectively, not only when choosing investments, but in delivering investments to the right scope and standard, and ensuring that the expected value is realised from them throughout their life. To help achieve this, the government has established a set of processes, rules, capabilities, information and behaviours which we refer to collectively as the investment management system.

The system is complex, made up of different agents, such as Ministers, the Corporate Centre[1], boards, monitoring departments and agencies, with a range of roles and responsibilities to ensure the system operates efficiently and effectively.

The system is also dynamic, involving diverse activities spanning multiple years, such as planning for the future, testing ideas, refining proposals, making investment decisions, implementing them, and ensuring ongoing performance.

This report brings together the different perspectives and roles within the system, to reflect on some of our biggest achievements over the last year, individually and collectively. It also offers insight into the challenges we have yet to overcome, and how we will shape our priorities and resources to address them.

This year we have achieved important milestones. We delivered the first stages of the Investor Confidence Rating, which is providing incentives for capability development. The Office of the Auditor General's report found that Gateway reviews can be a useful tool, and identified improvements to the way we review investments. We have started to improve our information in areas like asset performance and benefits management, and will continue to build on this over the next year.

This report is written for members of the public with an interest in government projects, businesses and providers who support government to deliver projects, and those working in the government investment management system.

Struan Little
Deputy Secretary, Budget and Public Services

Notes

  • [1] The Corporate Centre comprises Central Agencies (the Treasury, State Services Commission, and Department of Prime Minister and Cabinet), and the Functional Leads (the Office of the Government Chief Information Officer, New Zealand Government Procurement, and the Government Property Group). It has a stewardship role in leading the improvement of performance across the state sector.
Page top