Aus Treasurer Morrison: Need to revamp Australia’s debt into infrastructure funding

Australian Treasurer Morrison said in notes of a speech to be delivered in Sydney Thursday, he will split government debt into funding for day-to-day spending and borrowing for projects like road and rail. Morrison’s debt program follows urging from IMF and RBA, Bloomberg reports.

The treasurer will hand down the budget May 9.

Key Quotes:

“It can be very wise for governments to borrow, especially while rates are low, to lock in longer term financing and invest in major growth-producing infrastructure assets.”

“The way we have done budgets in the past at the Commonwealth level does not currently make the distinction between good and bad debt.”