Solid plan for State’s debt management is needed
THE reply from Aaron Harper, Coralee O’Rourke and Scott Stewart ( TB 13/ 06/ 15) about State debt management, when it eventually came, was less than impressive.
Only one ( short) sentence had any bearing on the subject in question.
Just saying that the Palaszczuk Government will pay down “general government sector” debt by $ 1.2 billion a year using a “special debt reduction trust” sounds more like a thought bubble than a plan as such. And what does that mean anyway?
I think it’s true to say that transparency, ie. openness and clarity, builds trust while the lack of it does the op- posite. So, bearing that in mind, I wonder if Coralee, Aaron and Scott can get back through this public ( TB letters) forum with a bit more detail about what’s going on.
Can you ( especially) confirm that what you said ( TB 13/ 06/ 15) does mean Queensland’s government debt WILL be seen to trend down by about ( on average) $ 1.2 billion in each and every year under your government’s fiscal management? I fear it might mean something different.
Firstly, I fail to see the need for a “special debt reduction trust” ( whatever that really is).
And secondly, I fail to see the need for this “general government sector” distinction. I would have thought “Queensland’s government debt” is “Queensland’s government debt”– end of story.
Why couldn’t you have just said something like: we will pay down the debt by $ 1.2 billion a year without running any form of concurrent ( compromising) budget deficit.
I’m not alone in saying that Queensland is paying an unacceptable price for the profligate excesses of past governments.
As Peter Smith ( TB 23/ 06/ 15) so correctly pointed out, future Queenslanders are going to inherit this burdensome legacy unless an effective debt reduction strategy can be devised and locked in ASAP.
The last thing we need at this time is a return of Bligh- style overspending.
For goodness sake, think of Greece. What is it they say about those who don’t learn from history?
A pathway out of this debt predicament does have to be charted. An open and structured discussion about how best to do what needs to be done is what we should be having, but aren’t.
I exhort Coralee, Scott and Aaron to crack the whip and get the Palaszczuk Government into motion.