ALEX CULLEN:
Good morning you to Josh.
JOSH FRYDENBERG:
Good morning.
ALEX CULLEN:
The NSW Premier was just on the show warning us to brace for a number of new cases today. That's at 11 o’clock eastern time. You're a glass half full kind of guy, I know. But does this threaten the outbreak and does it threaten oour recovery?
JOSH FRYDENBERG:
Well, it's a developing situation but I have a lot of confidence in NSW Health's ability to deal with this outbreak. They've moved swiftly. They've moved quickly. And what we have seen is more than 10,000 tests carried out yesterday. More than a quarter of a million Sydneysiders being asked to remain at home for the next three days. The question has never been whether there would be any new coronavirus cases? There was always going to be new cases. The question is always been how will we respond to them? And that is really important here. Because yesterday's improved economic outlook was a reflection of jobs coming back, restrictions being eased, but ultimately, the virus being suppressed. And NSW Health has been the gold standard in the country when it comes to contact tracing and testing.
SYLVIA JEFFREYS:
Borders are being shut, Treasurer. We've seen travel hot spots declared. The travel hot spots declared. The travel plans of millions now literally up in the air. You must be very worried about the economic impact of those changes?
JOSH FRYDENBERG:
Well again, when people close borders, obviously that has an impact on jobs. Let alone the daily lives of our fellow Australians. The medical advice must determine the course of action that is taken here. But what we do know is that NSW Health has dealt with hot spots before. They've dealt with new cases and they've dealt with them effectively. So this is a full court press right now from the NSW Health authorities. They're working in conjunction with their Commonwealth counterparts. Yesterday there was a hookup of chief medical officers. And we do know that we've got to deal with these cases when they arise from time to time. But when it comes to the overall economic picture, what we saw yesterday was that unemployment was lower, growth was higher, and the Budget bottom line was better than what was thought of at Budget time just 10 weeks ago. And that is a reflection of more people coming back to work, more Australians spending, more Australians travelling.
ALEX CULLEN:
Josh, you pleaded with the WA and Queensland Premiers not to close the borders because it could destroy confidence. They've gone ahead and done that now. I mean, what does this mean, what potential border closures, what threat do they pose?
JOSH FRYDENBERG:
Well, it's an evolving situation. And the response does need to be proportionate. And it does need to be based on the best possible medical advice. We do know that there will be new cases. And we ’re seeing that right today in New South Wales. But there is a comprehensive response that's been put in place. We do want the economic recovery to continue. And that is certainly been the numbers that we announced yesterday.
SYLVIA JEFFREYS:
It was so nice to hear your optimism yesterday. But, of course, JobKeeper is scheduled to finish in March leaving many people in the lurch. Is there any room in the Budget now for this to be extended?
JOSH FRYDENBERG:
Well it was always the intention that JobKeeper would be a temporary program. And we extended it for an extra six months and now it will end at the end of March. But what we have seen as the economy has improved, fewer Australians on JobKeeper. So there were two million fewer Australian workers and nearly half a million fewer Australian businesses that were using JobKeeper in the month of October compared to those that were on JobKeeper in the month of September. And that is a positive sign. But JobKeeper is not the only program that the Government has rolled out. Indeed, in the Budget, we announced tax cuts for 11.5 million Australians. Record incentives for business to invest. A JobTrainer program which will provide more than 300,000 training places. A JobMaker hiring credit to get younger people from unemployment queues into work. And we brought forward significant infrastructure projects to create more jobs. All of those initiatives are designed to boost economic activity as the economy transitions next year.
SYLVIA JEFFREYS:
But it's a definite no to an extension of JobKeeper?
JOSH FRYDENBERG:
Well certainly our plan has always been for it to be temporary and that means ending at the end of March.
ALEX CULLEN:
Okay. Hey, we need a vaccine and we need it now, Josh. Is it time to look into an emergency roll out of a vaccine?
JOSH FRYDENBERG:
Well, obviously community safety has to be our first priority. And that is why the vaccine is going through the processes with the TGA. As you would expect it to do before it gets approval. So once the virus vaccine is given the approval, then it will go to the next step and there will be a gradual roll out across the country. In the Budget update yesterday, we said that the vaccine would be expected to be rolled out across the nation by the end of next year. But certainly recent weeks have seen positive developments with respect to the vaccine and if it is rolled out any earlier than what we assumed at Budget time, that will have a big benefit to the economy as well.
SYLVIA JEFFREYS:
Am I right to say Treasurer, that an easing of tensions with China is at the top of your Christmas list this year?
JOSH FRYDENBERG:
Well obviously it is a very important trading relationship and those tensions have been there for everyone to see. But at the same time, we have our national interests which we need to protect and preserve and we make no apologies for that. Where those trade tensions can be resolved bilaterally, we would obviously like to do so. Where they can't, we reserve the right to use multilateral forum. But certainly it's a mutually beneficial relationship and nowhere is that more clearly shown than with respect to iron ore which is now seeing very high prices off the back of increased demand from China because it has helped underpin their economic recovery and has helped underpin jobs in their country. So our exports will continue to be important. Not just to China but to other countries right around the world.
ALEX CULLEN:
Josh we're seeing half a smile there, which is good. Long may that continue.
JOSH FRYDENBERG:
There ’s a big one.
SYLVIA JEFFREYS:
We will take it.
ALEX CULLEN:
We will take it. Have a wonderful break and a very Merry Christmas to you Josh.
SYLVIA JEFFREYS:
May the iron ore run the coal in your Santa Sack this year.
JOSH FRYDENBERG:
I don't know about that, but all the very best to your viewers on the Today Show. It's been a pleasure joining you this year.
SYLVIA JEFFREYS:
And to you and your family.
JOSH FRYDENBERG:
Thank you.
SYLVIA JEFFREYS:
It's been a long haul for you, we hope you have an enjoyable break with them this year
ALEX CULLEN:
Thanks Josh.
JOSH FRYDENBERG:
Thank you. All the best.