- Cook Labor Government delivers sixth consecutive operating surplus
- Surplus helping fund historic $11.4billion investment in infrastructure
- Total public sector net debt at 30June2024 down to $28.2billion
- Net debt as a share of the economy has almost halved in five years
- Treasury estimate Western Australia has saved around $4.6billion in interest payments due to lower debt levels under the Cook Government
The Cook Government has released the 202324Annual Report on State Finances(ARSF), showing that Western Australia's financial position continues to be the strongest in the nation.
The final operating surplus figure of $4.5 billion for 202324 was $1.3billion higher than the estimated actual in the 202425Budget, due to higher than expected revenue (up $872million or 1.9 per cent) mainly due to higher iron ore royalties, transfer duty and sales of goods and services, partly offset by delayed Commonwealth funding for transport infrastructure, and lower than expected expenses (down$456million or 1.1 per cent) largely reflecting changes in the timing of expenditure.
The operating surplus is a critical source of funding for the State's Asset Investment Program(AIP), which totalled a record $11.4billion in 202324. This is $2.2billion or 23.5 per cent higher than the previous record investment in 202223, reflecting the large number of projects now in the delivery phase.
Major areas of infrastructure investment included housing and land, transport, electricity and water, and health and education projects across WA.
Total public sector net debt at 30June2024 was $28.2billion, $463million lower than estimated in the 202425Budget and $1.2 billion lower than forecast in the 2023-24 Budget.
Operating surpluses and lower net debt reduce interest rate risk for the State, provide a buffer against future shocks, and further underline WesternAustralia's strong credit rating. WesternAustralia remains the only State or Territory with tripleA credit ratings from both Moody's and S&PGlobal.
The 202324ARSF is available at: https://www.wa.gov.au/organisation/department-of-treasury
As stated by Treasurer Rita Saffioti:
"Our Government has continued its focus on strong financial management, which has allowed us to invest in what matters for WesternAustralians, including cost of living support, boosting the supply of housing, major economic infrastructure and delivering better services such as health and education.
"We have invested a record $11.4 billion in infrastructure this year that will continue to support the State's economic growth and meet the needs of our rapidly growing population, setting WesternAustralia up for decades to come.
"Strong business and government investment, combined with resilient household consumption has made our economy and jobs market the strongest in the country.
"Our strong financial management has underpinned Western Australia regaining its triple-A credit rating, the only State or Territory to hold this from both of the major international rating agencies.
"WA's economic and financial position is the envy of the nation, but with global uncertainty surrounding economic growth, WA's strong position would be at risk under the inexperienced and chaotic Liberals and Nationals."
