Australia’s AAA credit rating has been reaffirmed by Fitch Ratings following the October Budget, highlighting the Albanese Government’s responsible economic management.
The international ratings agency confirmed that the October Budget showed “restraint” and did not add to cost pressures in the economy.
This is a strong endorsement of the Government’s economic management.
It shows that our Budget was defined by the times and designed for the times, and we got the fiscal settings right.
We welcome the support shown by Fitch and other informed analysts and commentators, which backs in our efforts to make the Budget more responsible and the economy more resilient.
We know inflation is the number one challenge facing our economy. That’s why our economic plan is carefully designed to avoid putting upward pressure on prices and making the job of the Reserve Bank harder.
“The Government is seeking to keep spending contained to avoid exacerbating inflation risks,” Fitch said in a statement.
“We expect the Government will seek to narrow deficits through growth-enhancing reforms, spending restraint and efficiency gains, under its fiscal strategy of putting gross debt-to-GDP on a downward trend.”
Australia is one of only nine countries to be rated AAA by all three major credit rating agencies.
The Albanese Government is committed to continuing the track record of responsible economic management that it has demonstrated in its first six months in office.
Our economic plan is delivering responsible and targeted cost-of-living relief, avoids adding to inflationary pressures, and begins the hard yards of long-term Budget repair.