Qld surges through $100 billion barrier

10 January 2007

Queensland’s net worth is surging through the $100 billion barrier according to data released today by Acting Premier and Treasurer Anna Bligh.

“The State’s net worth is now forecast to climb to around $108 billion in 2006-07,” said Ms Bligh when releasing Queensland’s 2006-07 Mid Year Budget figures.

“This is almost $9 billion higher than forecast at the time of the 2006-07 Budget.”

Net worth is the amount by which Queensland’s assets exceeds its liabilities.

“Despite an increase in capital spending, borrowing is expected to be around $80 million lower in 2006-07 than forecast at the time of the Budget, reflecting the fact that the Government has been able to fund much of its capital program from increased cash.

“Based on these figures, the SmartState will remain the envy of the other states and territories.

In addition the stronger Australian dollar has resulted in a modest downward revision to royalties compared to the original Budget estimate.

At Budget time, royalty receipts were forecast to be $1.517 billion for the 2006-07 year. The forecasts have slightly moderated to $1.447 billion. This compares with $1.492 billion in 2005-06.

Similarly, forecasts for gaming machine taxes and levies have been revised down. At Budget time, these were forecast at $582 million, but are now estimated to be $549 million. This compares with $551 million in 2005-06.

“The reasons for the moderation are unclear, but may include the impact of our tough anti-smoking laws and responsible gambling programs.

Ms Bligh said that despite adverse weather conditions affecting exports of rural products, growth in overall exports is expected to accelerate in 2006-07.

This trend is supported by continuing strong global demand for the State’s mineral and energy resources. Indeed, most base metal prices have risen since the beginning of 2006-07.

Growth in imports is also expected to be strong in 2006-07 as domestic economic activities are forecast to remain robust.

Media contact: Deputy Premier’s Office 3224 4379 John Algate 3224 5982