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Rating agencies have put the Victorian government on notice after it revealed state debt would climb to $188 billion in a budget which paused the Melbourne Airport Rail project and delivered $400 handouts for families, but failed to drastically cut spending.
Premier Jacinta Allan is counting on a growing economy and an interest rate cut later this year, which Treasurer Tim Pallas said he “fully expects to see”, to curb the state’s $26 million-a-day interest bill.
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