The federal opposition and Greens are refusing to budge on government plans to increase the nation's debt ceiling to $500 billion, reaffirming their intention to limit the increase to only $400 billion.
Opposition treasury spokesman Chris Bowen said the government had given no good reason for the $200 billion increase, and the Labor Party would stand by its plan to allow only a smaller $100 billion increase.
His comments came after Treasury Secretary Martin Parkinson earlier said Australian government debt would peak significantly above the previous $370 billion forecast.
"The secretary to the Treasury confirmed there is no danger, no risk, of Australia's debt going past $400 billion this year," Mr Bowen told reporters.
Mr Bowen said the opposition would not vote to increase the debt limit beyond $400 billion unless Treasurer Joe Hockey released a mid-year budget update and explained the need for a higher debt cap.
"The Labor party will always provide the government of the day with the debt cap necessary to ensure confidence in Australia's government, but we are not going to write blank cheques."
Greens leader Christine Milne also said the Greens would stand by their position to only allow the debt to rise to $400 billion.
Legislation to increase the debt limit to $500 billion has passed the House of Representatives, but the Greens and Labor have the numbers to force amendments when the legislation faces a vote in the Senate.
Senator Milne said the government could have $400 billion right now, but not $500 billion.
If it wanted more it could come back to parliament and ask for it in the future, she told reporters.
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