Tasmanian Government revises down deficit after report finds COVID recovery faster than expected

Tasmania’s economy is recovering from the impacts of the coronavirus pandemic faster than anticipated, according to a revised budget estimate release by the State Government today.

In a statement, Premier Peter Gutwein said the economic recovery was “well underway” but added “we know there is more to do”.

Figures from the Revised Estimates Report 2020-21 show Tasmania’s deficit will be lower than expected, with a net operating deficit of $960.7 million — some $157.3 million less than what was forecast in last November’s state budget.

The Tasmanian economy is forecast to grow by three-quarters of a per cent in 2020-21, up from November’s prediction of -1.5 per cent.