NSW Half-Yearly Review
|13 December 2016
NSW Treasurer Gladys Berejiklian delivered the State’s Half-Yearly Review earlier today, declaring the Budget to be “firmly in the black” with net debt at historically low levels. The surplus has grown by $260 million since the Treasurer delivered the 2016-17 Budget in June, buoyed by stronger than anticipated stamp duty receipts, and is now predicted to top $3.973 billion.
The update also confirms above trend real growth of 3 per cent this financial year, easing slightly to 2.75 per cent across the forward estimates. Unemployment is now predicted to fall to 5 per cent and remain steady – lower than the 5.25 per cent forecast.
Speaking at a Committee for Economic Development of Australia (CEDA) breakfast this morning, the Treasurer confirmed NSW continues to lead the nation on all key economic indicators and boasts the strongest budget and fiscal position of any Australian Government. State net debt at 30 June 2017 is anticipated to be $7.1 billion lower than forecast in the Budget, due in large part to the receipt of $16.2 billion from the successful long-term leasing of Ausgrid.
The Treasurer indicated the strength of the State’s finances allows the Government to accelerate its Rebuilding NSW program, with a further $1.5 billion in new infrastructure funding in 2016-17 committed since June. In total, the update contains an additional $2.7 billion over four years in new capital expenditure.
New commitments detailed in the Half-Yearly Review include: $380 million for the M4 Smart Motorway project; $393 million for the Sydney Pinch Points and Clearways program; and $196.5 million for Regional Multipurpose Services health facilities.
Key economic indicator forecasts: