New Zealand government forecasts narrower deficit for 2021/22

WELLINGTON, May 19 (Reuters) - New Zealand on Thursday predicted a budget deficit of NZ$18.978 billion ($11.95 billion) for the fiscal year ending June 30, narrower than a deficit of NZ$20.844 billion forecast in its half-year fiscal update in December.

Net debt under the old method of calculation was forecast to peak at 41.2% of gross domestic product (GDP) in 2023/24 compared with the December forecast when net debt was expected to peak in 2022/23 at 40.1% of GDP. ($1 = 1.5881 New Zealand dollars) (Reporting by Lucy Craymer; Editing by Jacqueline Wong)