National would sell BNZ

Press, 10 March 1987, Page 4

National would sell BNZ

PA Wellington The National Party would start its privatisation programme by selling the Bank of New Zealand, the Tourist Hotel Corporation and the Development Finance Corporation, said the party’s Deputy Leader, Mr Gair, yesterday. Capital proceeds from the programme, which would be implemented progressively, would be used to reduce public debt-servicing costs.

“National believes that where there is effective competition, state enterprises should be offered for sale to the private sector,” Mr Gair told the Rotary Club of Hamilton. National was totally opposed to State corporations launching a Govern-ment-sponsored “assault on private sector businesses from a position of strength and privilege.” However, where enterprises were of a highly monopolistic character, Parliamentary control

should be maintained.

The Leader of the Opposition, Mr Bolger, told the party conference in August last year there was no reason why institutions like the 8.N.Z., T.H.C., Petrocorp and the D.F.C., among others, should not be progressively transferred entirely to the private sector. The Government has since announced a 103 million share float to raise $180.25 million for the BNZ.