Story perspectives

NZ Deficit Shrinks to $6.8 B, Tax Revenue Surpasses Forecast

7/2/2026

Summary

Story summary

Higher tax receipts and lower spending have cut New Zealand’s projected budget deficit to its smallest level in years.
Treasury reports a $6.8 billion deficit for the 11 months to May, $9.5 billion including Accident Compensation Corporation (ACC), $3.4 billion below the budget estimate.
Tax revenue exceeded forecasts by $900 million and expenses were $900 million lower than expected.
Finance Minister Nicola Willis said figures indicate the economy is regaining momentum after a Middle East-related slowdown.

1 of 1

Story summary

Higher tax receipts and lower spending have cut New Zealand’s projected budget deficit to its smallest level in years.
Treasury reports a $6.8 billion deficit for the 11 months to May, $9.5 billion including Accident Compensation Corporation (ACC), $3.4 billion below the budget estimate.
Tax revenue exceeded forecasts by $900 million and expenses were $900 million lower than expected.
Finance Minister Nicola Willis said figures indicate the economy is regaining momentum after a Middle East-related slowdown.