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In Focus

For Māori Future Makers

Context

While the Māori development issues of the day are a critical focus for Te Puni Kōkiri, we are equally concerned to secure a bright and optimal future for Māori. Ngā Kaihanga Hou – For Māori Future Makers is built from a platform of understanding both the current circumstances of Māori economic position and participation, and the key drivers of global economic change that are most likely to impact on Māori. From this basis, it presents a consideration of key intervention points necessary to position Māori for optimal economic participation and success in the future global economy.

Report summary

The purpose of this report is to:

  • Create an informed understanding of the possible drivers of influence affecting how Māori will participate in the future New Zealand and global economic systems, and
  • Focus attention on the decisions that need to be made today to ensure active participation and shareholding of Māori in future economic systems.

The aim is to share ideas and stimulate debate within Government, Māori communities and wider New Zealand. Through the debate we would like to enable individuals to actively make positive decisions about their place in the future.

Future drivers of change

Three key future drivers have been identified that will influence the way that Māori participate in the economy leading to the year 2030. The drivers are;

  • Moving to the innovation economy
  • Redistribution of world economic power, and
  • Climate change and resource pressures.

Moving to the innovation economy represents one of the largest future opportunities (or threats) for Māori wellbeing, careers and business. Technological advances, both in the existing and new sectors; research and development; and education will be the three main factors influencing Māori participation in the innovation economy.

Redistribution of world economic power: the global power base is shifting from Europe and America to the new Asian economic powers. This will have a particular impact on Māori through investment and employment opportunities within the new markets driven by enormous economic growth. Within New Zealand there will be a demographic shift with the relative youthfulness of the Māori population, and Auckland will become increasingly important for the development of Māori and Māori businesses.

Climate change and resource pressures will be a challenge for Māori given the economic concentration of Māori businesses in the agriculture and fishing sectors. Adapting to climate change will require the uptake of new technologies to mitigate and withstand potential climate-related shocks.

Important influences

The report updated data and research on current Māori participation in the economy. This is based on various pieces of work that we commissioned as part of the project. Through analysis of this work we have identified the following seven key factors illustrating the present Māori position in the economy:

  • Increasing level of Māori economic contribution
  • High Māori exposure to world markets
  • Importance of employment for Māori within New Zealand
  • Māori population is young and growing
  • Improved quality of life for Māori
  • Māori asset base is growing, and
  • Māori culture and identity is strong.

The Māori commercial asset base has increased from $9 billion to $16.5 billion from 2001 to 2006. An increase of 84%, this represents 1.5% of the value of the New Zealand business sector in 2005/06, just slightly better than the 1.2% in 2001.

In terms of value adding to the economy, the value added by Māori businesses more than doubled between 1996 and 2003, increasing by $1.4 billion. This also represents an increase in the contribution to the national GDP, which lifted from 1.23% in 1996 to 1.96% in 2003. To ensure sustainable long term growth for Māori in the economy, we need to change future investment strategies to reflect the key drivers of future change.

Key enablers for the future

From the research it is evident that future economic growth and development needs to be directed at increasing Māori share of the economy, growing and diversifying of the asset base and broadening of economic activities for Māori. These considerations lead to the identification of five key intervention points to foster for greater Māori participation in the future economy:

  • Leveraging Māori businesses into growth and strategic industries
  • Increasing export growth participation
  • Improving the qualification base for Māori
  • Promoting higher levels of entrepreneurship, and
  • Nurturing innovation.

Related resources

For Māori Future Makers. 2007.
Includes the following appendices:

  • Historical Influences - Māori and the Economy. Te Puni Kōkiri. 2007.
  • The Māori Commercial Asset Base. Te Puni Kōkiri. 2007. 
  • Māori Participation in the New Zealand Economy. NZIER. 2007.
  • Quality of Life Indicators for Māori Discussion document. Te Puni Kōkiri. 2007. 
  • Demographic Trends and Projections. Te Puni Kōkiri. 2007.
  • Investigating Key Characteristics of a Māori Business for Future Measures. FoMA. 2007. 
  • 2006 Survey of the Health of the Māori Language. Te Puni Kōkiri. 2007.
  • Identifying Significant Elements of Māori Economic Development.Te Au Rangahau. 2006.

Discovering the "Māori Edge" - Te Tirohanga Hou. 2007.

Last modified: 17/04/2008