ANNA HENDERSON:
Treasurer thanks for joining us here on SBS World News again.
JOSH FRYDENBERG:
My pleasure.
ANNA HENDERSON:
So firstly, you have made an announcement today in the paid parental leave space. Doesn't seem like it's necessarily addressing the concerns on the superannuation front. So why not go that step further?
JOSH FRYDENBERG:
Well, this is a different change and this will be a welcome change. Firstly, we're making it more accessible to women who are the primary breadwinners in the family by changing the income threshold and creating a family income threshold. We're also ensuring that the 18 weeks is made into a 20 week paid parental leave program, which can mean a single mum who today could only get 18 weeks, will now be able to get 20 weeks. We're also creating more flexibility for families to choose how they may want to share it between a mum and a dad.
ANNA HENDERSON:
And as those families are trying to balance the books right now, they may well be getting $420 in the bank from you imminently. But won't they just be paying that money back on their mortgage later this year when interest rates spike?
JOSH FRYDENBERG:
Well cost of living pressures are real, but interest rates are at historic lows. They are matters for the independent Reserve Bank. But this $420 tax offset, which will be provided to some 10 million Australians who earn up to $126,000, will be very welcome. And it builds on what we've already announced. So if you're a two income family, for example, earning $60-70,000 each, you will see $3,000 in your bank account when you put your tax return in from the 1st of July. That's going to be very significant to your bank balance.
ANNA HENDERSON:
So what is the assumption, though, which must have been used to get to the inflation figures and to other figures in your budget. What is the assumption of the interest rate at the end of this year?
JOSH FRYDENBERG:
Well, again, we use technical assumptions, which is where the market rates could potentially be. But what we have focused on here is delivering cost, delivering relief now.
ANNA HENDERSON:
Do you wish now that your government had been more glowing and given more of a clear run to the idea of electric vehicles so that more people maybe had a different way to fuel their cars?
JOSH FRYDENBERG:
We've supported the rolling out of electric vehicles with investments in charging stations and the like.
ANNA HENDERSON:
But last election, if I can just interject, it was your government that says they would end the weekend. Do you wish more people were driving them now?
JOSH FRYDENBERG:
Well, again, you've heard many members of our government, including myself, talk about the importance of electric vehicles as part of the broader transition that's occurring to a low emissions economy. Climate change is real. Net zero is a major commitment from our government.
ANNA HENDERSON:
In terms of your big spend on cyber, almost $10 billion. The unemployment rate is so low now. Where are you going to find the people to staff this facility.
JOSH FRYDENBERG:
Technical experts will be found because it's a great privilege to work for the Australian Government, particularly in this very sensitive area.
ANNA HENDERSON:
And finally, $65.2 million for a Chancery in Honiara, that must be some Chancery.
JOSH FRYDENBERG:
Well, again, these are the going rates for investments that you need to make in the appropriate diplomatic network.
ANNA HENDERSON:
Is it just for a building? What are we paying for there? It seems like an extraordinary amount of money.
JOSH FRYDENBERG:
Well, again, that detail may be provided by the Foreign Minister or not, but there are also sensitive matters sometimes around diplomatic embassies. And obviously the costs are there for you to see.
ANNA HENDERSON:
Treasurer, we much appreciate your time. Thank you.
JOSH FRYDENBERG:
Thank you.