Sharon Bird (Cunningham, Australian Labor Party) Share this | Hansard source

I am sorry, but the comment—that he had got a bit of flack for allowing that to go ahead—was made to many of us on that committee. The reality at that time was that it was clear, as the then Treasurer had intimated until he was pulled into line because it was not in line with the position the government was putting to the Australian people in the election, that there were significant economic clouds gathering over the international situation and that they may have implications for our country. That was in August last year. This situation has been developing over time.

What did we, in opposition at the time, do in taking a policy position forward to the election? We outlined the importance of addressing two factors that the Reserve Bank of Australia had been talking about for a long time in terms of what the Australian government needed to be doing to address the inflationary pressures in our country. They were education and skills, and infrastructure. In putting together a policy that we took to the federal election—later endorsed by the people of this nation—we had a platform for building the skills and education levels of our nation through the education revolution and for reinvesting in important infrastructure, unblocking those major arteries which feed the export potential of this nation. They were important initiatives around productivity and performance. They were endorsed and they were delivered.

In the budget in May Labor put in place three major infrastructure investment funds through which the future growth and prosperity of this country could be assured. Not only did we do that but we increased and delivered a substantial budget surplus. I have certainly never heard anybody from the other side argue that a significant budget surplus is not an important factor in creating instability in a nation, particularly at a time when there is international turmoil.

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