The Government responds to our frontier firms report
The Government has released its response to the Productivity Commission’s inquiry into maximising the economic contribution of New Zealand’s most productive “frontier” firms.
The Government accepts the broad thrust of the Commission’s analysis and its recommendations for lifting incomes and wellbeing through supporting the growth of frontier firms - embedded in supportive innovation ecosystems - to export specialised and distinctive products at scale.
Commission Chair Ganesh Nana says, “We welcome the Government’s acceptance of the need for “areas of focus” in the economy.”
“A small country can only excel in a limited number of areas that can get to critical mass and support sustained world-class competitive performance. By focusing investment, government agencies, researchers, business, workers, iwi and educators can collaborate to build a world-class competitive advantage in some markets to lift national productivity.”
The Commission welcomes Government decisions to take action on specific recommendations from its inquiry, such as:
- reducing fragmentation in the Research, Science and Technology System;
- improving international connections and connections between research institutions and businesses;
- implementing consumer data rights to facilitate open banking and other exciting digital business opportunities;
- holding a Hui Taumata for Māori businesses; and
- starting informed conversations around widening New Zealand’s ability to use GM technologies.
For the first time, the Government has asked the Commission to conduct a follow-on review. This will investigate whether policy settings are shifting the productivity dial and progressing the country to a more sustainable and inclusive economy, or whether more radical change is needed.
The Commission welcomes this opportunity and will be looking to shortly confirm the scope for such a review.
Read the Government response to the Frontier firms inquiry here.