Treasury official plays down credit risk

Australia is in a better position than other comparable countries to withstand losing its triple-A credit rating, says the Treasury secretary.

It would "take a lot" to put Australia's triple-A credit rating at risk, Treasury secretary John Fraser says.

"I think we are particularly well placed," Mr Fraser said, in response to a question at a Senate estimates committee on Friday about comments made by Moody's ratings agency.

"For us not to address our debt and budget consolidation issues would be foolish and I think we are."

Moody's said this week it expected the federal budget deficits to be wider and in place for longer than predicted.

Mr Fraser said Australia was in a better position than other comparable countries.

"That said, it's a case of eternal vigilance - if you don't take it seriously and worry about things, people will come in and make comments and that is why we need to be resolute in making sure the economy grows and as the economy grows we can address these fiscal issues."

He said in recent years revenue estimates had "consistently disappointed in a way none of us expected".


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Source: AAP



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Treasury official plays down credit risk | SBS News