New Zealand is turning a corner – and that’s no coincidence. We’ve been focused on fixing the basics of the economy and laying the foundations to build the future.
Last year was about driving change in the areas which matter most. We’ve made real progress, and there is more to come. Treasury forecasts show growth strengthened in the second half of the year, unemployment is stabilising, and confidence is returning.
Momentum is building but sustaining it requires discipline, focus, and a clear plan.
A big part of fixing the basics has been getting inflation under control. Inflation has fallen from a peak of 7.3 percent under the previous Labour Government to 3.1 percent, and the Official Cash Rate remains steady at 2.25 percent.
That means more certainty for households, businesses, and investors. Interest rates have come down, so many people are saving significantly on their mortgages.
We’re also tackling barriers which have held our economy back. We are working to replace the failed Resource Management Act once and for all, making it easier to build the homes, roads, and infrastructure New Zealand needs to grow.
New Zealand’s future prosperity depends on high-quality infrastructure such as roads and public transport. Delivering and maintaining better infrastructure is key to fixing the basics and building the future New Zealanders need and deserve.
The National Infrastructure Plan focuses on what needs to be built over the next 30 years. In the second half of 2025 alone, construction began on $7 billion of central-government-funded infrastructure projects.
Just as we are ensuring New Zealand’s future is strong, we are also honouring our past. Anzac Day 2026 will be the first where all who have served New Zealand in times of war are officially commemorated.
We’ve passed long-overdue updates to the Anzac Day Act which will recognise all our veterans, including those who have fought in conflicts since 1966. We will remember them.