New Zealand budget funding

There were few surprises when yesterday’s New Zealand budget allocated NZ$200 million of capital funding for ultra-fast broadband infrastructure during 2010-2011. This is not fresh money but forms part of the NZ$1.5 billion previously earmarked for the 10 year project which will see broadband rolled out around the country. The money adds to the NZ$248 million allocated last year bringing the sum committed to almost 30% of the expected total.

The government expects this sum to be ‘at least’ matched by private industry. In his budget speech New Zealand’s Finance Minister Bill English said: “Another major investment is the Government's ongoing investment in ultra-fast broadband infrastructure through Crown Fibre Holdings. Budget 2010 allocates a further $200 million of capital funding, in addition to the $248 million allocated last year, as part of a total expected investment of $1.5 billion. “This funding will enable Crown Fibre Holdings to start making substantial contract commitments with the private sector to start rolling out the new fibre network. A further $48 million has been allocated for ultra-fast broadband in schools.”