DAVID KOCH:
Treasurer, we should point out this is for April, May and June so it's a fair bit back in the past, isn't it? Are you concerned that the economy is growing at just half its average pace?
JOSH FRYDENBERG:
Well, of course we want the economy to be growing faster but the key point here is that the economy continues to grow. We've chalked up our twenty-eighth consecutive year of economic growth. That's a record, Kochie, that no other developed economy has matched and that when you've seen Germany and Sweden and Singapore and the United Kingdom all experience negative growth in the June quarter, the Australian economy continues to grow. Now, these numbers do not take into account the tax cuts, the $14 billion plus that has already flowed into the pockets of Australians, as well as the full impact of the fifty basis point interest rate cut. So these numbers show the remarkable resilience of the Australian economy and a repudiation of all those who have sought to talk it down.
DAVID KOCH:
So, the September quarter that we're in at the moment, you're seeing an uplift so the half a per cent is going to be as worse as it's going to get, no recession?
JOSH FRYDENBERG:
Well, the key point is the Australian economy continues to grow and there are people out there who have sought to take glee and happiness, if you like, out of slower economic growth. We talk up the Australian economy and we will see that $14 billion have an impact in household spending.
DAVID KOCH:
We need to talk it up because there are a lot of doomsayers out there that have been proved wrong. But, okay, it's travelling worse than the average, pay rates are not going up. You've got two levers to pull; Reserve Bank and Government. Reserve Bank is cutting interest rates. What are you going to do to stimulate the economy? What is the Government going to do?
JOSH FRYDENBERG:
Well, infrastructure spending is a key aspect of fiscal policy. As you know, we've got a ten-year, $100 billion pipeline. The Prime Minister has written to the Premiers to discuss which possible projects could potentially be brought forward and started earlier. At the same time, those tax cuts are the most significant the Parliament has passed in more than two decades with more than $14 billion going into the pockets of Australians. We're investing more in skills with 80,000 new apprenticeships, as well as more money going into health and education…
DAVID KOCH:
So no new initiatives, though?
JOSH FRYDENBERG:
Those initiatives were set out in the budget when we were very conscious, Kochie, of these challenges that we face. But if you look at the numbers, for example, our exports have grown and the free trade agreements that the Coalition entered into are now producing those dividends.
DAVID KOCH:
Alright, Treasurer. Thanks for joining us. Appreciate it.
JOSH FRYDENBERG:
Always good to be with you.