Premier

AAA Rating Backs Labor Government’s Budget

28 May 2019

The Andrews Labor Government’s record of sound economic management has again been recognised by the leading international credit agencies Moody’s and Standard and Poor, with Victoria retaining its triple-A rating.

Both agencies acknowledged that the Victorian Budget 2019/20 hands down a strong operating surplus and efficiently manages debt, as the Labor Government delivers on its promises to the people of Victoria.

These endorsements were given on the same day the Treasurer handed down his fifth budget, which included record spending across transport, education and health.

Despite a reduction in stamp duty, Victoria’s economy is large and diversified, and has projected annual growth of 2.75 per cent over the next four years.

The endorsements followed the Treasurer’s announcement that more businesses can look forward to tax relief, with the payroll tax-free threshold to be increased by $50,000 to $700,000 by 2022-23.

The regional payroll tax rate will also be cut to 25 per cent of the metropolitan rate by 2022-23, so that eligible regional businesses continue to benefit from the lowest payroll tax rate in the nation.

Since the Labor Government was first elected, Victoria’s economy has contributed almost one-third of national economic growth – well above its share of the country’s population.

This has been a job-driven economic boom – with Victoria contributing more than 40 per cent of all full-time jobs created in the nation.

Quotes attributable to Treasurer Tim Pallas

“We’re maintaining Victoria’s triple-A rating as we get on with delivering the major projects and services our growing state needs.”

“Our responsible economic management means businesses will continue to invest in our state, creating more jobs and opportunities for Victorians.”

Reviewed 19 August 2020

Was this page helpful?