10 Aug 2005

Niue government to rush through budget that slashes spending

7:18 pm on 10 August 2005

Niue's premier, Young Vivian, is set to force through his Budget tomorrow, with all three readings in a single day.

Spending is to be cut by 10 per cent across all government departments.

Our correspondent in Niue, Patrick Lino, reports.

"The premier, Young Vivian, told us that there's no secret that his government will try to comply with a New Zealand request for a balanced budget; and he said because of that he does not expect much opposition to his budget, and would prefer it going through all three readings. There's been some concern from some members over the quick passing of the budget without sending it to the Public Expenditure Committee. However the premier says he would like to see the PSC work through the budget after passing it in the house. As part of the strategy for reducing the deficit and achieving a balanced budget, a 10 percent reduction has been imposed on all salaried vote items in all departments."