Rainy day fund

Thursday June 06, 2019 Written by Published in National

Cook Islands government has established a $56.7m “rainy day” account to protect the nation against the rises and falls of the global economy.

 

The Stabilisation Account will hold half the country’s “unencumbered cash” from next month.

The money will be used for additional debt repayments in good times, and to cover operational and capital costs in periods of economic contractions.

It is intended to be boosted by revenues from seabed mining, to protect the proceeds for future generations. 

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