1 Mar 2007

Niue government to face no confidence vote next week

4:21 pm on 1 March 2007

The Niue government is to face a vote of no confidence next week amid claims it is to blame for the country's dire financial state.

The island has been trying to confront a budget shortfall in recent weeks and it has now put in place ten percent cuts to the salaries of all public employees along with cuts and freezes on other government spending.

An opposition MP, Terry Coe, who has initiated the vote, says the cabinet has been mismanaging the islands's finances for years.

"That's what has got us into this predicament at the moment of having to put in the ten percent wage cuts for all the employees. If the financial management had of been fixed up probably six years ago we wouldn't be in the position we are in now."

Terry Coe says the vote is scheduled for March 7th.