Tuesday, 26 November 2024

Economic policy

John PESUTTO (Hawthorn – Leader of the Opposition) (14:16): My question is to the Premier. On Friday the Auditor-General found that Victoria’s gross debt will reach $268 billion due to the Allan Labor government’s mismanagement. This poses, according to the Auditor, ‘a significant risk to future prosperity and economic stability’. Under the Premier’s watch, by how much is Victoria’s gross debt growing per day?

Jacinta ALLAN (Bendigo East – Premier) (14:16): In thanking the Leader of the Opposition for his question, he refers to a report that was released last Friday by the Auditor-General, a report that went into detail about the state’s financial position. Of course the Auditor-General signs off on the budget that is produced every single year. This year’s budget included our fiscal strategy, which shows that we are forecast to continue to support a strong economy where we are creating more jobs than any other state and supporting services here in Victoria.

John Pesutto: On a point of order, Speaker, on relevance, we just want a straight answer: how much is gross debt growing a day in Victoria?

The SPEAKER: The Premier was being relevant and has concluded her answer.

John PESUTTO (Hawthorn – Leader of the Opposition) (14:17): The Victorian Auditor-General found that:

Prolonged operating losses and ongoing fiscal cash deficits are not financially sustainable, largely because they lead to higher debt levels than otherwise and indicate underlying structural risks.

When will these fiscal cash deficits be turned around?

Jacinta ALLAN (Bendigo East – Premier) (14:18): In terms of the fiscal strategy that the Leader of the Opposition referred to, of course that is outlined in the budget.

John Pesutto: On a point of order, Speaker, the Premier seems to have misunderstood the question. It is not about fiscal strategy, it is about the fiscal cash deficit. There is a difference.

The SPEAKER: That is not a point of order.

Jacinta ALLAN: I am delighted to remind the Leader of the Opposition that step 2 of our fiscal strategy, which of course was in the budget papers, which were signed off by the Auditor-General, demonstrated that we are delivering a net operating cash surplus of $2.6 billion. Before the Leader of the Opposition gets to his usual excitable self over there, I remind the house of this point: there is one side of the house that is focused on supporting jobs and frontline services and another that wants to bring about an American-style debt cap that only results in an American-style public health system.

Members interjecting.

The SPEAKER: The member for Laverton can leave the chamber for half an hour.

Member for Laverton withdrew from chamber.

James Newbury: On a point of order, Speaker, this is a very basic question of economics, and the Premier is debating the question.

The SPEAKER: The Premier has concluded her answer.