“The Mid-Year Economic and Fiscal Outlook released this morning shows that short-term prospects for economic growth and employment are weaker than was expected six months ago,” Denita Wawn, CEO of Master Builders Australia said.
“While we welcome the expectation that we will still record a Budget surplus this year – and continue to do so over MYEFO’s forecast horizon, the immediate priority must be for the Government to redouble its commitment to economic growth,” she said.
“Fast-tracking the actual construction of infrastructure projects so that there is money being spent to generate activity on the ground is the most effective way to achieve to this,” Denita Wawn said.
“Our industry depends on growth to be the biggest provider of full time jobs in the economy. The federal government has enough fiscal space to boost demand in the economy while still achieving budgetary surplus,” she said.
“An expanded productivity agenda is also needed to build on the Government’s continuing initiatives such as the deregulation taskforce to strengthen economic growth over time,” Denita Wawn said.
“The government still needs to look at ways of providing an immediate and effective boost to demand in the economy to get us over the soft patch we currently find ourselves in,” she said.
“Ramping up spending on construction of infrastructure is the best course of action. It offers a real opportunity to restore confidence amongst households and businesses and send everyone the message that our economy’s best days lie ahead of us,” Denita Wawn said.