Treasurer Josh Frydenberg is confident Australia’s predicted budget surplus remains solid despite headwinds in the global economy and constrained credit lending at home.
The nation’s books are expected to return to surplus for the first time in 12 years when Mr Frydenberg hands down his first budget on April 2.
‘It’s certainly still looking solid,’ he told the ABC’s 7.30 on Thursday night.
‘We are committed to delivering a surplus, not just in 2019/2020, but over the years ahead to bring down net debt from just over 18 per cent of GDP today to 1. 5 per cent at the end of the medium term.’
Mr Frydenberg acknowledged trade tensions between China and the United states, as well as rising global debt levels were global economic challenges.
‘These are some of the issues that we need to deal with,’ he said.
‘Here at home we’ve seen some constrained credit lending that the government and the Reserve Bank and others are very focused on.’
Despite suggestions Prime Minister Scott Morrison could pull the trigger on a March election, Mr Frydenberg said the plan was still to go to the polls in May.
‘I’ll be delivering a budget on April 2 that will be an important economic document,’ he said.
But he stopped short of locking in a date.
‘That’s a decision for the PM and his alone.’