The Government is under attack for borrowing more than it needs to meet current liabilities and opponents of the actions are accusing Finance Minister Bill English of subterfuge.
Mr English confirmed the Government was borrowing an extra $5 billion this year to take advantage of good interest rates.
Labour deputy leader Annette King told reporters she had no problem with borrowing in advance if it meant saving money. However, she said the Government should have been open about that and she questioned whether it intended to boast later in the year when it borrowed less that it was because it had done a "fantastic job".
Council of Trade Unions economist Bill Rosenberg said the Government was misleading people by saying it was borrowing $380 million a week.
He thought it was more like $274 million a week over four years with $176 million of that new borrowing, with the rest servicing debt.
Where were these people in April when the the New Zealand Debt Management Office quietly issued a record $1 billion of bonds in one week?
No-one was outraged. Mrs King did not call for a vote of no confidence.
Commentator Bernard Hickey wrote at the time there was no riot when the Government went to its bankers to borrow the $1 billion.
"Everyone seemed fairly relaxed on Thursday afternoon. Even the bankers were happy. They were so happy they offered to lend us almost $3 billion in the tender. And they were willing to pay a higher price - which means a lower interest rate - than in last week's tender for $700 million of bonds," Mr Hickey wrote on April 24.
The information from the New Zealand Debt Management Office is online and available to anyone to view. Mrs King could have looked any week of any year back to 2000 to view what had been borrowed and at what rate.
So, too, could Mr Rosenberg.
A quick look shows that recent interest rates varied between 6.5% and about 5% and some of the larger debt has been borrowed at the lowest rates.
Borrowing at a lower interest rate for a debt you know is coming is prudent business practice and one that most commercial operators would adopt.
Companies talk about "hedging" all the time in these times of a fluctuating currency, particularly if you are a mining company or one that uses imported products for a finished product.
Hedging provides some security in currency issues, just as it does with locking in a lower interest rate - even more important when you are using taxpayer funds as Mr English does.
A 1.5% interest rate saving on $1 billion is a significant amount of money for taxpayers to eventually fund.
There is a risk and that risk is that interest rates fall further - but not too many financial markets players believe that is going to happen.
The money needs to be repaid, and it will be. But it is better to be paid back at a lower rate than a borrow and hope policy of leaving the funding until the last possible moment and probably paying a higher interest rate.
Prime Minister John Key said the debt management office made decisions when it was best to issue bonds.
"There's no games here. The Budget quite clearly demonstrates this Government faces a budget deficit of $16.7 billion and of around $9 billion next year. That is the reality of the Christchurch earthquake and the global financial crisis that needs to be funded."
