LEON BYNER:
Treasurer, thanks for joining us today. The unemployment statistics see that we've got 726,100 people out of work. And we also see that the number of people out of work grew by more than 17,000. I wouldn't have thought that's a result you'd think was satisfactory, is it?
JOSH FRYDENBERG:
Well, unemployment today is 5.3 per cent and when we came to government, it was 5.7 per cent. So we have made significant inroads into cutting unemployment and to helping to create more than 1.4 million new jobs; jobs that are full time jobs and jobs that are important to boosting the productivity of the economy. What we're very pleased about is that the participation rate is now at a record high. There's never been more Australians who are in work, but at the same time the economy faces challenges. We have a very severe drought, particularly in Queensland and in New South Wales, which is not only a drag on the economy but is hurting those communities involved. We have these major trade tensions between the United States and China that is weighing negatively on business confidence and investment sentiment. But at the same time here in Australia the budget is back in balance for the first time in eleven years, we have maintained our AAA credit rating…
LEON BYNER:
On this thing of the budget being in balance, there's a big call on resources at the moment because of money for the drought and farmers and there's also a big call on help for those people who've suffered in the Bushfires. What's that going to do to the surplus? And I'm sure that most people would say that they would rather those things be done than just have a surplus for having a surplus.
JOSH FRYDENBERG:
Well, the surplus is never a surplus for its own sake. What it's all about is ensuring that we live within our means and that we don't have to increase taxes in order to guarantee the essential services that people need and rely on. The whole point about paying down our debt is to reduce our interest payments. It might surprise your listeners to know, Leon, that our interest bill as a country every year is $19 billion. That's more than double what we spend on childcare and nearly as much as we spend on school funding for government schools, independent schools, Catholic schools. And so we inherited a large amount of debt, we're trying to pay it back and we're doing that not by cutting spending, but by actually moving people from welfare into work.
LEON BYNER:
Now, we have got particularly in this state, a very sluggish employment situation and a sluggish economy and our Treasurer is trying everywhere to get revenue in because the Government still are not managing their spending. I don't think they're doing it as well as the Feds are if you make that comparison, but I just make the obvious point that we keep hearing about these infrastructure projects. We see headlines today that some of these now might involve foreign investment. Can we actually get some things going in this state like, now, like yesterday, which will actually be a fillip not only for things that we need, but in the process create some quick employment?
JOSH FRYDENBERG:
Well, let me just address your first point there which was about the South Australian economy. Business conditions and confidence rose in South Australia in October and the Marshall government has been a very important partner with the Morrison Government…
LEON BYNER:
Have you seen the business SA survey that came out a couple of days ago that says exactly the opposite, that confidence is at a record low?
JOSH FRYDENBERG:
Well, what we've actually seen is that people in South Australia are getting the tax relief that we legislated after the budget, around 780,000 South Australians will receive that tax relief. We've got around a quarter of a million small and medium sized businesses in South Australia that are eligible for the instant asset right off, and when it comes to your point about infrastructure, as you know, we're contributing billions of dollars to the North South corridor as well as a series of other major infrastructure projects and what I announced yesterday in the… (connection drops out)
LEON BYNER:
Oh, there he goes. We've lost him, we've lost him, but nevertheless we've got the basic thrust of what he had to say and we'll take that on.