Question regarding the impact of the $1 billion Regional Development Fund and Midwest Initiatives expenditure on the state's net debt position. The Treasurer confirms spending increases debt.

AnsweredQoN 289Legislative Assembly
Asked
12 June 2012
Portfolio
Treasurer

QuestionView source ↗

STATE BUDGET 2012–13 — REGIONAL
DEVELOPMENT FUND AND MIDWEST INITIATIVES
289. Mr B.S. WYATT to the
Treasurer:
I have a supplementary question. Now that the Treasurer has
confirmed that more than $1 billion will be expended over the next four years,
can he confirm whether that will have a $1 billion impact on the net debt
position of the state?

AnswerView source ↗

If we spend money, it contributes to an increase in debt. If
we save money, such as in the future fund, we reduce net debt. That is a point
that the opposition could not comprehend when the budget was presented.
Mr B.S. Wyatt : So,
yes, it will increase the debt.
Mr C.J. BARNETT :
Paying the member for Victoria ParkXXX ###XXXs salary
is part of the recurrent expenditure of this government. The budget surplus and
deficit are the difference between expenditure and receipts, and that
accumulates in the future in the form of debt.

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