I hear you, WTF is a MYEFO?
MYEFO is the mid-financial year release of the federal government’s economic and fiscal outlook. It is an update of the budgetary position.
Basically it highlights the blow-outs from the “main plan”, which is released in budget week in May each year.
Think of it like this… all those sneaky little purchases you made at Gorman a few months ago that you thought would not count but came to bite you on the credit card bill right before Christmas? That is MYEFO for the government.
It takes account of all decisions made since the release of the May budget which affect expenses and revenue and therefore it revises the budget aggregates.
Yesterday the Treasurer announced Australians are on track to inherit a national debt equivalent to $30,000 per person, with the interest bill to pay for it blowing out to $15 billion next year.
Announcing an increase of $2.3 billion in this year’s deficit to $37.5 billion, Treasurer Scott Morrison and Finance Minister Mathias Cormann said, while the budget was still in need of repair, the economy was heading in the right direction.
They said spiralling debt, growing deficits and lower economic growth were to blame for the extra debt.
But DON’T PANIC as we are headed in the right direction, the new Treasurer Scott Morrison has assured the nation.