Ratings agency S&P has warned the ACT it will receive a credit rating downgrade if it fails to plug its near-$1 billion deficit, putting the territory at risk of rivalling Victoria as the country’s most fiscally precarious government.
Releasing the territory’s mid-year budget update on Thursday, ACT Treasurer Chris Steel revealed a deficit blowout of $347 million to $972 million in 2024-25, blaming an unexpected spike in demand for hospitals.
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