Australia to spend more on jobs in budget based on COVID-19 vaccine By Reuters

Australia to spend more on jobs in budget based on


© Reuters. Commuters wait on a train platform in front of the Sydney Harbour Bridge at Circular Quay in Sydney

By Lidia Kelly

MELBOURNE (Reuters) – The Australian government said on Sunday it will earmark an additional A$1.2 billion ($859 million) in wage subsidies in the 2020/21 budget and that its frameworks assume that there will be a novel coronavirus vaccine next year.

In the run up to the Oct. 6 budget, which is set to forecast a record deficit of about A$200 billion, Treasurer Josh Frydenberg said a vaccine was a factor in his fiscal considerations.

“The budget takes into account the possibility that is the case,” Frydenberg said when asked in a Sky News television interview whether the budget would be based on an assumption that a vaccine would be ready.

“We have worked hard with international counterparts to secure the vaccine for Australia.”

Australia’s A$2 trillion economy suffered its deepest slump on record in the June quarter as coronavirus curbs crippled business activity, and the government has sought to soften the blow this year with A$314 billion of fiscal stimulus.

The government plans to roll out a coronavirus vaccine cost-free to citizens, expecting its first batches possibly in January.

Earlier on Sunday, the government said the budget would include a wage subsidy aimed at creating up to 100,000 apprenticeships.

“We want to continue to recover what has been lost and get young people into work,” Prime Minister Scott Morrison was cited as saying in a press release announcing the A$1.2 billion scheme.

While the overall jobless rate fell to 6.8% in August, unemployment for those aged 15 to 24 hovered near 20%.

“This budget is all about jobs,” Frydenberg said in a separate interview with the Australian Broadcasting Corporation (ABC) public television.

In an interview with Channel Nine television Frydenberg reiterated that the budget would include the bringing forward of already legislated income tax cuts.

 

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Source link

Leave a Reply

Your email address will not be published. Required fields are marked *


About us

InvestLab is a financial services technology company focused on the global trading market. Founded in 2010 in Hong Kong, the company develops trading, market data, and social research products that enable individual investors and small to mid-size brokers to access global markets. We provide brokers and financial institutions cross border capabilities for retail investors into 43 markets globally.


CONTACT US

CALL US ANYTIME