Restrict immigration? Good idea, let’s start with Islamic immigration

Fairfax reports:

Immigration?is set to hit record levels, pushing up house prices over the coming year, but Prime Minister John Key believes immigrants’ skills are needed and enough houses are “in the pipeline” in Auckland to meet the influx.

In their monthly update to ministers yesterday, Treasury officials said net permanent and long-term (PLT) migration in the year ending March was “likely to exceed our [December] Half Year Update forecast of a peak of 52,400”.

Inflows were expected to start easing in the first half of this year, and the impact on house prices and household wealth appeared more subdued in this cycle, possibly because of the concentration of 20-34-year-olds in the numbers.

“However, it is possible that the strength in PLT arrivals recently may begin to impact housing demand more significantly over the coming year,” they warned.

Key said there was no question immigration has some impact on housing.

“Generally, the Reserve Bank takes the view that net migration is positive for the economy but has some spill-over implications.”

David Farrar asks if we should start thinking about restricting immigration.

[W]hile the medium to long-term effects of migration are positive, the rate of migration can and does put pressure on infrastructure such as housing, schools, hospitals. That is not an argument against migration, but for making sure that the net inwards flow is at a reasonable rate.

The challenge is the net flow in is made up of four?components. They are:

  1. Residents leaving NZ ? Government has no control
  2. NZers returning to NZ ? Government has no control
  3. Australians migrating to NZ ? Government has no control
  4. Other nationalities migrating to NZ ? Government has control

The first three components are all strongly increasing net migration to NZ. This is going to put some stress on infrastructure. So the question is should the Government make it harder for people in category (4) to migrate?

Perhaps, but let’s start with restricting immigration from Islamic nations first…that will knock a pending problem on the head. We don’t want to end up like the UK, Norway, Sweden, France or Denmark.

See how that goes then revise.


– Fairfax. Kiwiblog