Muller promises record infrastructure package

commitment to a net core Crown debt target of just 20 per cent of GDP, although he didn’t say when he’d like debt to get that low.

National hasn’t set itself a firm debt target since the Covid-19 economic shock upended the public finances.

Net Crown debt sat at roughly 20 per cent when the Covid-19 economic shock began. Treasury now thinks net debt will continue to rise until it hits 53 per cent of GDP in 2024. Treasury’s most distant projection for net debt is that it will eventually decrease to 42 per of GDP cent by 2034.

Muller acknowledged that getting debt down would be hard, and that debt would continue to rise over the next parliamentary term.

‘‘Getting back to fiscal surplus and then paying down debt to 20 per cent of GDP is necessary, not least because New Zealand will inevitably confront another natural, economic or health disaster in the next couple of decades or beyond.’’

The wider Muller plan was light on detail and contained no spending promises that hadn’t already been announced, but Muller committed to publishing more detail before early voting starts.

Muller reiterated a pledge not to raise taxes or cut benefits. He said he would continue to run large budget deficits to stimulate the economy.

Muller said he planned to announce ‘‘the biggest infrastructure package in this country’s history’’ by the end of the month.

‘‘It will include roads, rail, public transport, hospitals, schools and water.’’