Vic's financial position as virus looms

THE UPSHOT FROM VICTORIA'S MID-YEAR FINANCIAL REPORT:

* Victoria recorded a $1.8 billion deficit in the six months to December 2019, an improvement from the $4.8 billion deficit it had in the same period the previous year.

* The improvement was largely due to stronger returns in the state's investment portfolios during 2019, compared with investment losses in the first half of 2018.

* The state added $38.7 billion in revenue to its coffers during the period, up by 2.4 per cent from the same period the year before.

* Among contributors to the higher revenue was a 5.4 per cent increase in revenue for government-owned corporations, the largest of which provide services for water, housing and transport services, to $5.9 billion. Consumption of water was up as a result of conditions being drier.

* On the other side of the ledger, expenses grew by 7.7 per cent to $40.5 billion over the six months. The bulk of expenses, $34.6 billion, came from government departments and public sector agencies.

* Ultimately, treasury says the Victorian economy is performing well in the context of a subdued national economy.

* Victorian Treasurer Tim Pallas says the state's jobs growth - 90,700 in the year to January 2020 - will help buffer against unforeseen challenges such as bushfires and the spread of COVID-19.

Austrlaian Associated PressBack to Breaking News

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