The federal government debt has jumped to nearly 25% of gross domestic product (GDP), courtesy of the significant surge in the increased welfare payments amid the coronavirus crisis, the Australian Treasurer Josh Frydenberg said at a news briefing in Canberra on Friday.
Additional comments
“Government debt for the year ending June 30 totaled A$491.2 billion ($346.6 billion), or 24.8% of the country's GDP.”
“The figure is slightly higher than Australia's official forecast in July of A$488.2 billion, or 24.6% of GDP.”
“The budget swung into a massive deficit of A$85.3 billion, slightly lower than its July forecast of A$85.8 billion.”
Market reaction
Amid risk-on buying and broad US dollar pullback, the recovery in the AUD/USD pair is gaining momentum above 0.7050. The AUD bulls ignore the above comments. The spot adds 0.13% to now trade at 0.7056.
Reprinted from FXStreet，the copyright all reserved by the original author.
Disclaimer: The views expressed are solely those of the author and do not represent the official position of Followme. Followme does not take responsibility for the accuracy, completeness, or reliability of the information provided and is not liable for any actions taken based on the content, unless explicitly stated in writing.
Leave Your Message Now