Portfolio Media Releases

COALITION TO SEEK PUBLIC DISCLOSURE OF GOVERNMENT DEBT HOLDERS

12th June 2009

The Coalition will seek an amendment to the Guarantee of State and Territory Borrowing Appropriation Bill.

The amendment will require that a public registry of the beneficial holders of Commonwealth and State Government Securities that are Commonwealth guaranteed, is established.

This will ensure that there is full transparency in respect to the issuance of Australian Government and State Government debt that is Commonwealth guaranteed.

This Bill provides an appropriation enabling the Commonwealth to pay any claim made under the Commonwealth’s Guarantee of State and Territory Borrowing.

The Bill also provides power for the Commonwealth to borrow money if there are insufficient funds in the Consolidated Revenue Fund.

If any of the States do not have the ability to repay their loans and the Commonwealth has no available funds, the Australian Government may be forced to borrow to make up the shortfall. 

This would drive the Australian Government even further into debt.

Kevin Rudd and Wayne Swan will laden taxpayers with an unprecedented $315 billion of debt. 

The Rudd Labor Government is borrowing at a rate of almost $3 billion a week. 

It is estimated that more than 60 per cent of the Australian Government’s borrowings are being funded by overseas investors. 

Foreign Governments are considered to be major purchasers of Australian Government bonds.

The unprecedented rate of borrowing by the Rudd Government means it is essential that the holders of Australian Government bonds be made known to the Australian people.