National Party pollster David Farrar says the forecasts are good, but there's a big challenge for the Government.

After almost a decade of suspensions, the Government will resume repayments to the NZ Super Fund on Friday, albeit more slowly than its founder expected.



Set up by the previous Labour government in a bid to help smooth the looming rise in state pension costs, National ceased payments when it came into office, at the depths of the Global Financial Crisis.



Robertson confirmed in the half year economic and fiscal update that on Friday the Government would begin payments to the fund. A total of $500 million will be paid into the fund in the current fiscal year. The fund currently manages around $35 billion in assets.



"This isn't a policy about tomorrow, or next year, or even the next decade; it's about investing responsibly to enhance the long-term wellbeing of New Zealanders," Robertson said.

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"To do that, we plan to put money in regularly – as Sir Michael Cullen intended when he set up the fund in 2001 ... This Government cares about how future costs are funded across generations. We are acting responsibly to address future issues now."

ROBERT KITCHIN/STUFF The Government saw the move as important and eventually would approach the level required under law, Grant Robertson said.

Over five years, contributions will total $7.7b.

While Labour has said the added cash will see the size of the fund grow to $63 billion by 2023, the contributions are considerably below what Cullen envisaged.

The Labour-led Government has said it will increase contributions to the fund progressively, to $1b in 2019 through to 2.5b by 2022.

However, under the contribution formula laid out in the fund's founding legislation, the Government would be required to inject $2.7b each year.

Robertson told reporters that the Government saw the move as important and eventually would approach the level required under law.

"We're doing what we can do," Robertson said, adding that the Government had a number of other priorities for spending. The initial payment on Friday was largely "symbolic" but the payments approached the required contribution by 2023.

"What we want to do is make a start."

According to figures calculated by the NZ Super Fund has missed out on around $14.5 billion since payments were suspended.

Had the fund had the additional capital, it would have generated more than $6b in additional returns.