Feb 28, 2013

Everything is not AAA-OK in the NSW economy

This week's Auditor-General's report on problems in the NSW budget hampers the chances of the state hanging on to its coveted triple-A credit rating. Glenn Dyer and Bernard Keane report.

Ratings group Standard & Poor’s has again maintained Australia’s AAA rating. But what are the odds of the group doing the same for NSW?

If you were a punter of modest means, a small amount on NSW losing its AAA rating in the next six months might be a worthwhile flutter after a couple of recent events.

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9 thoughts on “Everything is not AAA-OK in the NSW economy

  1. john willoughby

    ratings agencies are by definition acting as agents and as the GFC showed are about as trustworthy as the clients who employed them.. Why are you choosing to label them as groups.. spruikers and spivs would be a fairer description..

  2. Bill Hilliger

    To quote the Auditor General: …it seems the standard of accounting and financial management …has actually worsened since the O’Farrell government came to power…that Baird and Premier Barry O’Farrell tried to con the voters and media when, after winning the 2011 election, they looked at the state’s finances and declared there was a hole that was black, or very deep, depending who you spoke to. That of course involved fudging the figures and the reality was that the last ALP government, for all its appalling features, left the state’s finances in a reasonable state.

    I say, yep Veronica under a liberal government you will always find the fiscal ratings go down; interest rates up; unemployment up; pensions down, etc. Given the current electoral climate, and in accord with the western Sydney mob, I’m following the herd and say hooray! I’m voting coalition because I love being shat on!

  3. Michael

    Glen & Bernard
    You are the Chemical Ali’s of Oz media.
    Purveying your idiotic rubbish on the cusp of a liberating Coalition landslide that will sweep away your Leftist regime.

  4. iggy648

    Could you be more specific Michael? Point out which facts are incorrect, for example?

  5. Edward James

    NSW could regain its stable credit outlook by boosting revenue — through higher taxation, or by asset sales. Really? …As a NSW taxpayer committed by the misgovernance of our NSW State finances to enormous debt. I must question paragraphs like this ; This week the Auditor-General followed up with another report looking at errors, fix-ups and accounting in the public service and government departments. It wasn’t pretty. The report was critical of the performance of the state’s public service in reporting accurately and doing the basic accounts properly, plus making sure all spending has been signed, sealed and delivered in the best possible way. I must ask why on taxpayers behalf, these blood sucking public servants are not sacked ? Bernard Keane tell us Crikey readers why it is that, election after election bloodsucking public servants, who are clearly unable to do their jobs effectively are exposed as useless and incompetent? Why they are not punted ? These public servants absorb our taxes at a great rate no mater what information they produce for us taxpayers. Punt them like I hope thinking Australian voters will punt Labor weeds inhabiting Federal Parliament . Edward James

  6. Edward James

    Anyone who has lost their house or business to the banks and variable interest rates must understand 22 million dollars a day in interest on Federal borrowings is offensive! That money could be National savings building to make Australians self supporting. But for some obscure reason our out going Federal government insist on tying us into world economics, a system which is incredibly unstable. Edward James

  7. Michael

    Yes, what Im saying is that Labor’s Light on the Hill is about to be extinguished permanently by average Australians.

  8. Edward James

    @Iggy648. We the people who have been keeping track of expenditure do not change when governments come into power. Neither do the government employed! But seriously why is it millions if not billions in accounting errors can be glossed over election after election. when if taxpayers think about what is happening. people would be on there way to gaol. Edward James

  9. Edward James

    Labors light on the hill. Has a lot in common with those lights which were used by opportunist to entice vessels onto the rocks and the their doom! Edward James

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