New Zealand goes into this world slowdown in a strong position Secondly, although New Zealand will be affected by the world slowdown, we are not completely hostage to external events. It is important that we don’t talk ourselves into a gloomy frame of mind just because the slowdown in the world economy could be substantial, and could last well into next year.
When the world slowdown began, many sectors of the New Zealand economy were in rude good health economically, as I have mentioned - and I haven’t even mentioned such other advantages as a strongly capitalised banking system and a government running fiscal surpluses. In other words, we start into the slowdown from a good position.