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Wednesday, August 16, 2023

Point of Order: Buzz from the Beehive - 16/8/23



Dairy prices have slumped and international student numbers are flagging – but Robertson rejoices in the pace of wage growth

While dairy farmers were lamenting the impact on prices of a flagging demand for dairy products in the critical China market, Education Minister Jan Tinetti was noting the importance of China in the international education business.

Almost 12,000 Chinese students were studying in New Zealand, she said when expressing her delight that China’s Minister of Education, Huai Jinpeng, is in Wellington and Christchurch this week.

But this sector has been flagging, too.

RNZ recently reported the number of new foreign students coming to New Zealand is lower than before the pandemic, despite an overall increase in study visa approvals.

Between 1 September 2022 and 30 April 2023, Immigration New Zealand approved 20,331 study visas for international students, 22 percent or 5637 fewer than the same period in 2018-19.

The numbers included only new international students who were fee-paying tertiary or school students, on scholarships or exchanges, or enrolled in English-language study.

Previously reported figures for the eight-month period since the borders reopened to international students included a large group who received a study visa because they were the dependent of a foreign worker, and treated as domestic students for the purpose of school fees.

The biggest drop was among new Indian students, who received 2861 study visas, 45 percent fewer than pre-pandemic.

The number of visas from the other major source of students, China, barely changed with 4985 new approvals, increasing its share of new visas from 20 to 25 percent.

Despite obvious troubles in some sectors of our economy, Grant Robertson was giving another cheer-leading performance as Minister of Finance after the latest Stats NZ figures on wages were published.

His statement – and Tinetti’s – were among three fresh posts on the government’s official website, when Point of Order checked early this afternoon.

Latest from the Beehive

16 AUGUST 2023


The Chinese Minister of Education Huai Jinpeng is in Wellington and Christchurch this week to reaffirm the importance of the two countries education relationship.


Tēnā koutou, tēnā koutou, tēnā koutou katoa. Thank you Jeremy, members of the Seafood New Zealand Board, conference organisers, fellow Members of Parliament and all of you for being here.

15 AUGUST 2023


Workers continue to benefit from a resilient economy with wages outpacing inflation again.

In her statement on China’s Minister of Education, Huai Jinpeng, visit to this country, Jan Tinetti said education is one of the key pillars of the New Zealand-China relationship and a foundation for enduring links between our countries.

A key outcome of Huai’s visit will be the 11th Joint Working Group on Education and Training including the signing of an Education Cooperation Arrangement between Education New Zealand and China Education Association for International Exchange.

“This arrangement will support greater education exchange and collaboration between the education sectors of New Zealand and China.”

Huai and Tinetti will meet to discuss ongoing opportunities in the education relationship, he will visit several of our education institutions, and his programme includes attendance at the New Zealand International Education Conference Ki Tua, at which China will be this year’s country of honour.

“China is our largest source country of international students, with almost 12,000 Chinese students studying in New Zealand. This visit is a great chance for us to share stories about everything studying with New Zealand has to offer.

“I am pleased that Minister Huai will have the opportunity during his visit, and attendance at our international education conference, to engage with a range of senior government officials, sector representatives, academics and students,” Jan Tinetti said.


Here’s hoping he has a good grasp of te reo or has hired an interpreter.

Grant Robertson’s press statement was triggered by Stats NZ figures which show median weekly earnings from wages and salaries leapt by 7.1 per cent in the June year.

He drew attention to this being the second largest annual increase since records began in 1998 and ahead of inflation at 6 per cent.

“Unemployment remains low and wages are rising above inflation to help Kiwis deal with cost of living pressures. This is another great result and shows the Government’s plan for the economy continues to keep New Zealand moving in the right direction,” Grant Robertson said.

But if wages are outpacing inflation, it seems odd that he would proceed to say:

“We know New Zealanders are doing it tough right now. We’re taking action to ease the pressure on Kiwi budgets, with cheaper childcare, free prescriptions and half priced public transport for young Kiwis coming into force from July 1.

“We have also significantly lifted the incomes of seniors, families, workers and students while the Winter Energy Payment will provide cost of living relief for electricity bills.

“The Government is also doing its bit to ease pressure by reducing spending and overall demand in the economy, with real Government consumption forecast to fall by 5 percent by the beginning of 2025.

“New Zealand is in good shape to weather the difficult global conditions. We have record numbers of people are in work and wages are rising faster than inflation. Tourists are returning in greater numbers, overseas workers are filling vacancies and our public debt levels remain among the lowest in the world.

“Our focus is keeping the economy moving in the right direction and create the conditions to support people into work and drive higher wages,” Grant Robertson said.


At least part of the answer comes from an article posted by David Farrar on Kiwiblog:

It was headed Benefit numbers six years on

The Government has released the latest benefit data. Here are the changes from June 2017 to June 2023.

All working age benefits
  • Total working age 276,331 to 351,759, an increase of 27%
  • Māori 97,916 to 131,413, an increase of 34%
  • Under 25s 42,615 to 52,689, an increase of 24%
  • More than one year 72,558 to 92,814, an increase of 28%
So in six years we have around 75,000 more working age NZers on welfare. Of concern is the increase of Under 25s and those on welfare for more than year because we know from social investment data that being on welfare early and for a long time has highly negative correlation with doing well later in life.

The situation is even worse for those who are on jobseeker.
  • Jobseeker 118,776 to 173,130, an increase of 46%
  • Māori jobseeker 43,430 to 67,029, an increase of 54%
  • More than one year JS 51,299 to 70,365, an increase of 37%
A huge 46% increase of people on what used to be called the dole. even higher for Māori New Zealanders, and despite low unemployment a 37% increase in those who have spent over a year on jobseeker.

Point of Order is a blog focused on politics and the economy run by veteran newspaper reporters Bob Edlin and Ian Templeton

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