Finance Minister Bill English is predicting that the economy will take a hit over the next two or three months because of the Christchurch earthquake, but that there will then be a rebound.
The Treasury has calculated that the quake could cost $4 billion - double the figure first suggested by the Earthquake Commission.
Mr English says the good news is that much of the cost is insured and there is money in Earthquake Commission and insurer reserves to get going right away.
The cost to the Government is manageable, he says, if the Crown keeps its accounts under control.
He says the important thing initially is to get people back into their homes and jobs.
Mr English says any estimates of the total cost of the quake to the country is still a guess, and that in any case none of the numbers can pick up the disruption to lives, or the resilience of people.
