Coalition to increase the debt ceiling to borrow more funds

THE Federal Government has announced a $200 billion increase to the Commonwealth debt ceiling and a six-month audit into Government spending in the face of a "deteriorating" budget position.

Treasurer Joe Hockey announced the measures after a federal Cabinet meeting in Canberra today.

"The Coalition government will have to increase the debt limit for Commonwealth Government securities to $500b," he said.

"We are increasing it to that level because I've been advised that on 12 December, the current debt limit of $300b will be hit."

He said the last Treasury assessment, provided in the pre-election fiscal outlook, predicted debt would peak at $370 billion.

Read more at ABC news online

Topics:  coalition debt ceiling joe hockey

Stay Connected

Update your news preferences and get the latest news delivered to your inbox.

PHOTOS: Meet our kindy students

Newrybar Public School

My First Year commemorates the start of school for kinders

Johnny Cash tribute will take you back to Folsom Prison

COUNTRY: Singer Daniel Thompson as Johnny Cash.

Johnny Cash The Concert Revisits Johnny Cash at Folsom Prison

Local Partners