National is accusing the Government of having its head in the sand, about the prospect of a recession.

Finance Minister Grant Robertson has told Newstalk ZB he's confident New Zealand can still avoid a recession, despite the Reserve Bank's efforts to engineer one.

But a new forecast from Infometrics suggests a recession is inevitable, given the slowdown in sectors like construction.

National Finance Spokesperson Nicola Willis told Kate Hawkesby on Early Edition Robertson is being naïve.

She says New Zealand will look back on this time in history, as the moment the Government didn't act to prevent an avoidable recession.

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