Back in black: Chalmers says Australia’s budget surplus may top $20 billion
Australia’s books are likely to show a $20 billion surplus for the last financial year off the back of a strong labour market and high commodity prices for key exports.
Australian Treasurer Jim Chalmers speaks to the media during a press conference inside the Budget lockup (AAP Image/Lukas Coch)
The underlying cash balance for the year to May was $19 billion, up from the $4.2 billion surplus for 2022/23 flagged in the federal budget.
Dr Chalmers said the figure would be finalised in coming weeks.
He said the government managed to provide cost of living relief while boosting productivity “so we can lay the foundations for future growth as well”.
But the treasurer ruled out any further living cost relief, saying the gains would be banked as the government worked to tame inflation.
“We need to recognise that even though the budget is in much better condition in the near term, we have the longer term intensifying pressures as well,” he told reporters in Canberra on Monday.
Dr Chalmers said while inflation was coming down, it was still too high.
“We would like to see it moderate quicker,” he said.
The treasurer made the announcement as he unveiled the next head of the Productivity Commission, saying strong economic foundations stemmed from “the right institutions and the right leadership of those institutions”.
Cabinet has agreed to put forward Chris Barrett, a former ambassador to the OECD and chief of staff to Labor treasurer Wayne Swan.
