Australia’s final 2025-26 budget outcome showed an underlying cash deficit of $22.3 billion, or 0.8% of GDP—$6 billion below the May estimate and with gross debt at $971.4 billion, $10.6 billion lower than projected.
Stronger tax receipts from superannuation and investments added $4.6 billion, while payments came in $1.4 billion under forecast.
Supporters like economist Stephen Koukoulas hailed it as a ‘AAA budget outcome’ and global envy, though critics noted it was still a deficit driven more by revenue than spending cuts, amid ongoing cost-of-living pressures.