Finance Minister Bill English believes the state of the economy is almost the worst that it possibly could be.

English says 2009 is shaping up to be a year to forget, with unemployment set to rise to six point five percent.

However, National claim to be in control of the situation, English saying they are well placed to deal with any issues that may arise.

The economy is forecast to come to a standstill, bringing in less tax and more benefit expenses meaning cash deficits will rise to 10 billion by 2011.