Australias public debt levels remain manageable, with record low interest rates leaving the government plenty of room to boost the economy in the October budget, according to the Reserve Bank.
In a speech on Tuesday the RBA deputy governor, Guy Debelle, has defended the size of support payments including jobkeeper and jobseeker and given the Morrison government the green light to conduct a record-breaking spendathon in the budget.
The government is considering a package of accelerated income tax cuts, infrastructure spending through the states and wage subsidies to boost the Australian economy out of the Covid-19 recession with a deficit nearing $200bn.
But rather than hold back in the face of growing debt, Debelle reiterated the RBA…
Read the full article at: https://www.theguardian.com/australia-news/2020/sep/22/reserve-bank-gives-coalition-green-light-for-record-spendathon-in-federal-budget
