Australia Posts Fiscal Boost From Exports; Surplus Still Distant

  • Treasurer reveals budget deficit of A$32 billion for 2021-22
  • Improved result due to a A$27.7 billion spike in tax receipts

Australia has been a rare beneficiary of Russia’s aggression toward Ukraine that sent commodity and energy prices soaring, pushing its terms of trade to new highs. 

Photographer: David Gray/Bloomberg
Lock
This article is for subscribers only.

Australia reported a significantly improved budget outcome for fiscal 2022 even as Treasurer Jim Chalmers dismissed prospects for the books to return to the black over the next four years.

A surge in commodity prices following Russia’s invasion of Ukraine delivered a windfall to government coffers, with the deficit coming in at A$32 billion ($21 billion), or 1.4% of GDP, in the year through June. The result Wednesday was a A$47.8 billion improvement on forecasts.