Commerce Minister Lianne Dalziel said Budget 2008 provides funding to better protect investors, address barriers to economic growth and improve government services to business.

The government will spend $6.1 million of operating funding over the next four years and $2.9 million of capital funding for the implementation of new laws to improve the supervision of financial advisers and institutions. Additional operating costs of $5.1 million and capital costs of $1.4 million will be paid for by industry.

The funding will allow financial service providers to be registered and set up dispute resolution schemes, and will enable the Securities Commission to undertake a role in the licensing of financial advisers.

"The recent volatility in the financial sector highlights the importance of this new regulatory regime and we are providing the funding to do the job properly," Lianne Dalziel said.

A separate fund of $500,000 for 2008/09 will add to the list of government initiatives that support capital market development.

"This will enable us to work with the private sector to identify barriers to economic growth and how to overcome them," Lianne Dalziel said.

“A further initiative aimed at improving services provided by the Companies Office will also be welcomed by New Zealand businesses. The government will pay the capital cost of $4.5 million in 2008/09 and 2009/10 for the Enterprise Project; and the operating cost of $7.2 million will be cost-recovered by the industry. This will bring a range of new services and capabilities for New Zealand businesses using the Companies Office website," Lianne Dalziel said.