Category: Australian News

Australian exporters impacted by the COVID-19 crisis will now have access to business-saving loans between $250,000 and $50 million under a new $500 million capital facility to be administered by Export Finance Australia.
The new COVID-19 Export Capital Facility will target loans to established and previously profitable exporters who, due to COVID-19, are unable to gain finance from commercial sources.
Federal Trade Minister Simon Birmingham said the COVID-19 Export Capital Facility would help trade-exposed businesses, including those from regional Australia and businesses in the tourism and education sectors, to get through this crisis and get to the other side.
“These are tough times for many trade-exposed businesses who have been some of the hardest hit by the COVID-19 crisis,” Minister Birmingham said.
“Rising export costs, disruptions to supply-chains and loss of markets are some of the factors that are making it difficult for exporters to access vital commercial finance.
“We are currently in a difficult credit environment and these loans will provide a lifeline to Australian exporters to help them maintain their operations.
“This critical financial assistance will help exporters to get back on their feet through helping to re-establish markets, or provide working capital support or help exporters purchase new equipment to expand their operations.
“Helping our export sector to get access to business-saving finance is crucial to reducing job losses through this crisis and a critical part of the ultimate economic recovery.
“These business-saving loans are in addition to the significant steps our Government has already taken to support exporters and jobs across the sector to get through these incredibly tough times.”
The COVID-19 Export Capital Facility complements other initiatives to sustain exporters, and position them to rebound quickly, including the Small and Medium Enterprises (SME) Guarantee Scheme that will support up to $40 billion of lending to SMEs (including sole traders and not-for-profits). Under this scheme, the Government will guarantee 50 per cent of new loans issued by eligible lenders to SME up to $250,000.
In addition to the COVID-19 Export Capital Facility, Export Finance Australia will also provide assistance to its existing customers through access to credit and financial relief.
For more information on Export Finance Australia, including how to apply for finance, visit: www.exportfinance.gov.au/covid19.

The International Monetary Fund (IMF) expects economic growth in Australia to rebound despite the global economy facing a downturn “far worse than during the 2009 global financial crisis” as a result of the impact of the coronavirus crisis.
The IMF is forecasting the global economy to fall by 3.0 per cent in 2020 which compares to a fall of 0.1 per cent in 2009 at the height of the global financial crisis.
Economic growth in Australia is projected by the IMF to fall by 6.7 per cent in 2020 as the world deals with the economic fallout from the coronavirus. However, the IMF is forecasting Australia to grow by 6.1 per cent in 2021, faster than the economies of the United States, Canada, Japan, France, Germany and the United Kingdom.
The Morrison Government has taken decisive action to protect Australians and the economy from the effects of the coronavirus, with Government support for the economy totalling $320 billion or 16.4 per cent of GDP.
The $130 billion JobKeeper payment will help keep more Australians in jobs as we tackle the significant economic impact from the coronavirus. In the absence of the JobKeeper payment, Treasury estimates the unemployment rate would be 5 percentage points higher and would peak at around 15 per cent in the September quarter.
The IMF also notes that the Reserve Bank of Australia (RBA) responded quickly to worsening risk sentiment by injecting $90 billion into the financial system to support small and medium businesses to deal with the economic challenges that are being caused by the spread of the coronavirus.
Our disciplined economic and budget management saw Standard and Poor’s last week reaffirm Australia’s AAA’s credit rating, noting that “while fiscal stimulus measures will soften the blow presented by the COVID-19 outbreak and weigh heavily on public finances in the immediate future, they won’t structurally weaken Australia’s fiscal position.”
Australia approaches this crisis from a position of economic strength. The Federal Budget returned to balance for the first time in 11 years and Australia’s debt to GDP is about a quarter of what it is in the United States or United Kingdom, and about one seventh of what it is in Japan.
Our measures are temporary, targeted and proportionate to the challenge we face and will ensure Australia bounces back stronger on the other side, without undermining the structural integrity of the budget whilst maintaining our commitment to medium term fiscal sustainability.

The big streaming companies should play their part in helping fund Australia’s cultural recovery, the Greens say. The Party is also calling on the Australian Government to commit to an Australian Content Fund.
“The bigwigs of video streaming like Netflix, Stan and Amazon should be regulated to support Australian made stories and entertainment, Greens Arts & Media spokesperson Senator Hanson-Young said today.
“During the Covid19 shutdown Australian households are logging on and streaming more content than ever before. Meanwhile Australia’s cultural, arts and entertainment industry is being decimated by the Government’s Corona response.
“It’s no surprise that it’s Australian artists and entertainers that are keeping us all sane as we remain cooped up inside in an effort to stop the spread of the virus. What is more surprising is unlike in other parts of the world, Australia has no obligations on big streaming companies to fund, invest and create Australian content or tell Australian stories.
“Now is the time for the Government to make a real difference in protecting and enhancing our national identity, culture and voice by issuing requirements for big players like Netflix, Amazon and Apple to put genuine support behind Australia’s screen and music industries.
“Funding cuts to both Screen Australia and the ABC over the years has seen support for creating quality Australian TV shows and films reduced.
“Alongside Netflix and others, the Government needs to invest in an Australian Content Fund to keep local stories being made, workers in the industry in jobs and protect our unique Australian voice, at a time when as the Prime Minister says, national sovereignty and cultural identity is so important to keeping us all together and united.
“As the Arts and Communications Minister plans to make more announcements this week, it would be foolish to weaken the nations ability to create local content and tell our own stories. Pressured, free-to-air broadcasters may want less obligations to produce Australian shows and entertainment, but this would create mass job losses and a long-term economic downturn for everyone. Watering down Australian made content is the exact opposite of what we need right now.”

The Morrison Government’s historic $1500 fortnightly JobKeeper payment will support millions of Australian jobs as we build a bridge to the other side following the severe economic impact from the coronavirus.
The economic shock facing the global economy from the coronavirus is far more significant than what was seen during the global financial crisis over a decade ago.
Businesses across a range of industries have had to close their doors and others have seen a significant drop in activity as countries, including Australia, exercise social distancing measures to contain the spread of the virus.
It is against this backdrop the Government has taken action with $320 billion or 16.4 per cent of GDP in economic support for the Australian financial system, businesses, households and individuals affected by the coronavirus.
Given these actions and the position of economic strength from which we approached the coronavirus crisis Treasury expects the unemployment rate to rise to 10 per cent in the June quarter from 5.1 per cent in the most recent data.
In the absence of the $130 billion JobKeeper payment, Treasury estimates the unemployment rate would be 5 percentage points higher and would peak at around 15 per cent.
More than 800,000 businesses have already registered for the JobKeeper payment which will allow the economy to recover more quickly once we are through to the other side of the crisis.
The Government’s economic support measures are temporary, targeted and proportionate to the challenge we face and will ensure Australia bounces back stronger on the other side, without undermining the structural integrity of the Budget which Australians have worked so hard to restore.
Last week our track record of prudent fiscal management was recognized by Standard and Poor’s who reaffirmed Australia’s AAA credit rating and made the point that “while fiscal stimulus measures will soften the blow presented by the COVID-19 outbreak and weigh heavily on public finances in the immediate future, they won’t structurally weaken Australia’s fiscal position.”
Australia is one of only ten countries to hold such a rating from all three major rating agencies.
Every arm of government and industry is working to keep Australians in jobs and businesses in business, and to build a bridge to recovery on the other side.
The Government will continue to do what it takes to ensure that Australia bounces back stronger.

Greens transport spokesperson Senator Janet Rice has called on the Government to attach conditions to any bailout money given to airlines to provide the financial support necessary to pay all workers, rather than allowing Qantas and Virgin to stand down workers without compensation.
Greens transport spokesperson Senator Janet Rice said:
“Virgin Australia today stood down 80% of its workforce, only days after the parliament passed the government’s minimum $715 million airline bailout. Last week, Qantas stood down two thirds of its workers.
“These workers will be facing weeks and months of uncertainty and hardship if the government does not act now to attach conditions to their major airline corporate bailout. The government’s first priority should be ensuring airlines keep their workforce in place as we go through this crisis.
“Both Virgin and Qantas have spent a fortune on share buy-backs to prop up shareholder value. They have paid out exorbitant CEO salaries and both companies have successfully minimised their tax over many years. Yet many of their workers will now be forced to join the endless Centrelink queues around Australia.
“Workers should not be the victims of cost-cutting in the bad times while shareholders and executives lived it up during the good times.
“This bailout should be done by the Federal Government taking an equity stake in the airlines so that the community gets some return on their investment.”
“Keeping airlines afloat is obviously important to ensure essential transport during this crisis. But it needs to be done in a way that ensures a fair outcome for workers and taxpayers, rather than another handout for corporate investors.”
“All public support should be conditional on the airlines guaranteeing jobs. We must do everything we can to protect the tens of thousands of employees of these two companies.”

Emergency contingency measures will ensure aged care recipients continue to get the care they need during the COVID-19 pandemic.
The Federal Government today launches a joint strategy aimed at strengthening the workforce to ensure staffing gaps are filled.
The measures include:

• New emergency response teams on standby if there’s a significant outbreak in a residential aged care facility;
• Remote locums to support aged care providers in remote Australia if they are unable to source staff; and
• Access to a surge workforce through the online platform Mable, to help providers if they’re unable to fill critical skills because of infection or staff have to self-isolate.

Aged Care Minister Richard Colbeck said COVID-19 Age Care Support Program funding will also help approved aged care providers with the costs of hiring additional staff and covering workers who are required to self-isolate.
“We are ready to help the Aged Care sector as we navigate through this difficult time together,” Minister Colbeck said.
“It’s absolutely critical we continue to have a strong workforce so there are no gaps in care, particularly in regional and remote areas.
“As unlikely as it might be, we have plans in place for worst case scenarios where an outbreak in aged care facilities mean local staff are unable to continue to provide care due to an infection in the service.”
It will be funded via the $101.2 million available for Age Care measures – part of the Federal Government’s $2.4 billion support package announced on March 11.
Healthcare solutions provider Aspen Medical has been engaged to deploy the emergency response teams immediately to an aged care facility if a significant outbreak occurs.
“Nurse first responders are on standby in every state and territory in the event of an outbreak,” Minister Colbeck said.
“Additionally, while it’s unlikely, we need to ensure we’re planning for parts of the workforce being unable to work.
“In an emergency situation, where large parts of the workforce or specific skills can’t be sourced through existing channels, providers can access the Mable workforce platform to recruit workers in nursing, allied health, personal care, domestic assistance and social support service.
“I want to stress these are temporary contingency measures and providers must show they’ve exhausted usual recruitment channels.
“There’s every chance these extraordinary measures won’t be required in full – but it’s vital we are ready.”

Australian Greens Senator for NSW and Education spokesperson Dr Mehreen Faruqi has said that the government’s Higher Education Relief Package fails universities, staff and students in a time of crisis. She also has said that the government’s messaging is unnecessarily parochial and alienating for hundreds of thousands of students.
Senator Faruqi said:
“Guaranteeing the funding already budgeted for 2020 does not provide stability. Universities and TAFEs are absolutely central to the research, reskilling, education and training we need to survive this crisis and build a just economy and society afterwards. We need more than just life support for higher education.
“University funding has been falling for many years. Now is the time to introduce free university and TAFE for all, with a big funding boost to secure jobs and ensure the long term success of higher education in Australia.
“The terrible decision by the government to abandon university staff means they will continue to face uncertainty and instability. Higher education providers should be eligible for JobKeeper payments and all staff, including all casuals, should be supported through this very difficult time.
“Stop-gaps like regulatory fee relief and online short courses aren’t enough, nor can they justify the government passing the buck on student welfare. Universities have been forced to become food banks by a government that refuses to give desperate international students any form of income support.
“The whole higher education sector needs support right now, and TAFE should not be neglected or forgotten about.
“The parochial flavour to the government’s ‘domestic students first’ messaging, while leaving international students destitute, is outrageous. A failure to support our international students also alienates and marginalises hundreds of thousands of students we welcomed here,” she said.

The Treasurer is in the box seat to fix the problems with the JobKeeper program that has locked workers in the arts, entertainment and events industries out of the $130bn package, the Greens say.
The Greens moved in the Senate last night to amend the Coronavirus legislation to ensure casuals employed less than 12 months, freelancers and other businesses with work structures unique to the arts industry were covered but the Government and One Nation voted it down.
“The Morrison Government has so far failed to save the multibillion dollar arts and entertainment sector from collapse and swift action is needed now before it’s too late,” Greens Spokesperson for the Arts Senator Sarah Hanson-Young said.
“The fact remains the Treasurer does have the power under the legislation to allow workers in the arts, entertainment and events industries to access the JobKeeper program and he should act to do that now.
“The longer the Treasurer delays exercising his discretion, the more jobs are lost and the harder the recovery when this crisis is over.
“Australians across the country are relying on the work and contributions of Australia’s artists to help get us all through this very difficult period and we will when it comes to recovery. We are watching their shows, films and listening to their music. Yet the Government doesn’t seem to value this work even though it contributes $112 billion to our economy.
“Even the Minister responsible for the portfolio has only been able to find $27m to go towards the sector, and only today after weeks of suffering and when the industry has been screaming out for a tailored package in the vicinity of $1billion.
“The Greens have been backing the industry’s call for a specific and tailored package of $1bn. The Government has stepped in to support other sectors of the economy and they need to do the same here.
“Once again the Morrison Government is failing the arts, yet it could turn this around with the stroke of a pen today. I urge the Treasurer to do the right thing and ensure no worker is left behind in this crisis.”

Easter in Australia will be different this year, as it will be all around the world.
It’s still true that we’ll be able to gather together in our immediate family, but there won’t be the opportunity for that extended family gathering, special times I know, as well as going off to church and our religious services where we can remember the death and the resurrection of Jesus Christ.
The coronavirus means this Easter will be different and we will be staying at home.
And it’s important because we cannot undo the tremendous progress we have made together in recent times.
So this Easter we are staying at home. Don’t travel. Don’t go away.
For Christians, not being able to gather does not diminish the hope that we have through this important Easter period.
This year, we will live out our faith by doing the right thing.
That means staying at home, making sure we’re checking on our neighbours and supporting our communities and families, our friends.
That’s what living our faith is all about.
So as we go into this Easter long weekend, whatever your religious views might be, I do wish you a Happy Easter, Australia.
I hope it is a time as you come together in your homes, together with your immediate family, that it will be a strong reminder about what’s most important.
Happy Easter, Australia.