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By Leigh-Marama McLachlan of RNZ
The Government will spend $ 900 million in the 2020 Budget to support whānau, hapū and iwi to face the consequences of Covid-19.
The package includes $ 400 million in Maori education, an increase of $ 137 million to Whānau Ora and $ 200 million in a Maori employment package targeting the regions.
Finance Minister Grant Robertson said the Budget recognizes the significant impact of the virus on Maori, particularly in terms of unemployment where Maori are already over-represented.
The broader $ 200 million Maori employment package will get the government to work with iwi and Maori to help increase job opportunities in the regions.
It also includes the establishment of a $ 50 million Maori trade training fund.
Employment Minister Willie Jackson previously indicated that the Maori unemployment rate could end up being double the rate of non-Maori.
He said that today’s budget has been a significant and much-needed investment in employment and professional training.
“He Poutama Rangatahi, Mana in the Mahi and Maori Cadets have received significant increases in funds to increase their reach,” he said.
“We also heard from iwi and Maori that they wanted to work with the government to increase employment opportunities in the regions … we have heard.”
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Dr. Matt Roskruge, co-director of Massey Te Au Rangahau University, who is a tenured professor of economics and finance, said he appreciated the focus on job creation in the regions.
“The regions are likely to be the hardest hit in terms of employment and the slowest to recover,” he said.
“The $ 200 million for the regional economy will certainly help to some extent in supporting Maori regional economic development, but the devil will be in the details.
“We have to be a little careful to make sure there are no isolated communities, towns, rural areas that are forgotten in the recovery story.”
Lack of custom Maori business support
To date, there has been no Maori economic support package aimed at helping Maori companies deal with the impacts of Covid-19.
Roskruge said he is disappointed that there is no specific focus on Maori business in the Budget.
“It didn’t seem like much thought had been given to how to transfer money to Maori organizations to help them find solutions on the ground for the Maori economy.”
“In saying that, $ 200 million is not a small amount of funds, it’s probably at a level that will make a difference, but I don’t think it’s enough to make the level of difference that you might need.
“I think the government has perhaps expected the Maori economy to be caught up in that big package of spending.”
However, Jackson and Maori Crown Relations Minister Kelvin Davis defended the government’s approach.
Jackson said his officials told him that tens of thousands of Maori companies have benefited from the wage subsidy, which has now been extended for another eight weeks.
“At this stage, we do not have to absolutely specify Maori companies, but we are aware of the thousands that benefit from overall spending,” he said.
“There will be many programs for many of those companies to join.
“There are enough specific funds for our people to hold onto this stage, $ 900 million, unprecedented in terms of previous governments.”
Other key Maori investments in the 2020 budget
• An increase of $ 136 million for Whānau Ora to continue supporting whānau
• An extra $ 200 million in funds for Te Kōhanga Reo
• A total of just under $ 109 million for the promotion of the Maori language and culture
Budget provides $ 40 million for a Maori and Iwi Housing and Innovation Fund
– RNZ
