'Disparaging' Kiwi attitude may not help our economy

DUBLIN - Part of New Zealand's economic problems could relate to a negative Kiwi attitude, says Ireland's Deputy Prime Minister, Mary Harney.

New Zealand had made significant progress in public sector restructuring and privatisation but Ms Harney said she felt many Kiwis were disparaging about the economy.

"I suppose sometimes it depends who you talk to. But I have met people in New Zealand who are very negative about New Zealand.

"Your unemployment level went to 7 per cent, and that was considered a disaster, but we had a 17 per cent unemployment level and mass emigration as well. So everything is relative."

Ms Harney said she was impressed with the Labour Government's restructuring during the Lange years.

"I was one of the advocates for some of that change here a decade or so ago. We were very slow in Ireland to embrace things like competition and privatisation.

"But, unlike New Zealand, Ireland is close to its main markets. Your nearest market is a couple of hours by air and it's only 18 million people. We're on the doorstep of a market of 400 million, so it is easy for us to succeed in that kind of context.

"I know there have been difficulties recently in New Zealand but I think many of the reforms, particularly in the public sector, seem to have been successful."

Irish Prime Minister Bertie Ahern enthused about the warmth between the two countries.

"About 450,000 New Zealanders can claim Irish ancestry, so we are fairly strong out there and the relationship is really like a family one."

The armed forces of the two countries were working closely together in the peacekeeping operation in East Timor and Mr Ahern said he would visit the troops in the coming weeks.

Ireland and New Zealand clearly did not see eye to eye on lamb imports to Europe but had similar views on nuclear disarmament, and ties had strengthened with the reopening of the New Zealand consulate in Dublin last month, Mr Ahern said.

"We are very happy with that and this has helped to advance further the good relationships between us. I want to thank the people of New Zealand for their genuine interest and support for the peace process in Northern Ireland.

"We really don't see [the breakdown in talks] as something we will not surmount. It is a crisis of a sort. It was created because David Trimble, leader of the Unionists, was unable to get his confidence to pass the setting-up of the institutions of the Good Friday Agreement, and because he had to put a deadline at the end of January for progress," he said.

"We didn't agree with that but pragmatic political solutions have to happen sometimes."

Mr Ahern said the Irish wanted to see a solution in the shorter term. If it was not sorted out by Easter the dispute would drag into the (religious) marching season over summer.

- NZPA