Victoria state budget 2026: state back in black forecasting two back-to-back surpluses
Summary
Victoria’s state budget for 2026-27 shows the government expects a $700 million operating surplus in 2025-26 and a $1 billion surplus the following year. These are the first surpluses since before the pandemic, though the state still faces large cash deficits due to infrastructure spending and rising debt.Key Facts
- Victoria recorded a $700 million operating surplus in 2025-26, the first since 2018-19.
- A $1 billion surplus is forecast for 2026-27, though this is lower than earlier predictions.
- Operating surplus numbers exclude spending on infrastructure projects like roads, schools, and hospitals.
- The state is expected to run a cash deficit of about $9.68 billion in 2025-26 due to capital spending.
- Net debt is projected to reach nearly $166 billion by June 2026 and $193 billion by 2028-29.
- Debt as a share of the economy is expected to stabilize at around 25%.
- The budget includes more than $6 billion in funding, such as $750 million for car registration refunds and $1.6 billion for school infrastructure.
- Health funding includes upgrades to hospitals, increased surgeries for children, and expanded fertility services.
Read the Full Article
This is a fact-based summary from The Actual News. Click below to read the complete story directly from the original source.