Peter Gutwein,Premier
Treasurer
he Treasurer's Annual Financial Report for 2020-21, released today, has confirmed Tasmania's financial position is continuing to strengthen despite the ongoing threat of COVID-19.
The 2020-21 TAFR shows that the General Government Sector incurred a Net Operating Deficit of $344 million which is $774 million better than the original Budget estimate.
The TAFR also shows that the General Government Sector Net Debt of $516 million is $1.339 billion less than was originally anticipated in the 2020-21 Budget which is the lowest level of net debt of any state or territory in both dollar terms and on a per capita basis.
The improved outcomes, due to the strength of the economy reflect strong growth in General Government Sector revenue, which was $471 million higher than the Budget estimate, while expenses were $303 million lower than originally anticipated.
The pandemic has been one of the largest shocks to our way of life, our economy and to our finances, but this positive result clearly shows that Tasmania has bounced back strongly and even though we provided more than $1 billion in economic and social supports, the Budget is on track to achieve a surplus and will be back in the black over the forward estimates period.
Importantly, this strong financial position has allowed the Government to invest a record $10.7 billion into our health system and the health and wellbeing of Tasmanians, ensuring we are well prepared for when our borders reopen on December 15.
A record $8 billion will also be invested in education, skills and training to enable Tasmanians to get the jobs that will support and drive our economy forward, and our ambitious $5.7 billion infrastructure program will create more jobs and build better safer and more connected communities.
Tasmania's labour market is the biggest it's ever been and we now have more than 263,000 Tasmanians employed and, as reflected in the recent NAB Monthly Business Survey, the Deloitte Access Economics Business Outlook Report and CommSec State of the States Report, economic performance and business confidence has stayed strong.
There is no doubt Tasmania is in a good place. However, we know that there is more to do as we continue to emerge from the pandemic, and we will continue to deliver our plan to grow our economy and create more jobs as we secure Tasmania's future.
