BY STELLA QIU
SYDNEY- Australia’s government will dole out billions in cost of living relief measures in its budget on Tuesday to win back disgruntled voters ahead of a tough election in May, tipping the fiscal ledger back into the red after two years of rare surpluses.
Figures from Treasury showed gross debt is expected to hit A$940 billion ($590.23 billion) in the fiscal year to June 2025, with debt as a share of GDP expected to hit a peak of 37 percent over the coming years. That is still low compared with its global peers.
Details of the budget will be announced by Treasurer Jim Chalmers in parliament at 1930 local time (0830 GMT).
“Tonight’s budget will be a responsible budget,” he told reporters in Canberra on Tuesday.
“We know that cost of living is front of mind for most Australians and it will be absolutely front and center tonight in our budget.”
Most major initiatives have already been announced by Prime Minister Anthony Albanese who is struggling to soothe voter anger over high living costs, still-elevated borrowing costs and worsening housing affordability.
The budget will feature an A$8.5 billion investment in the public health system and a A$7.2 billion additional funding to upgrade a major highway in Queensland. It will also extend electricity rebates until the end of the year and roll out funding for every public school in Australia. — Reuters
