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Treasurer confident surplus will be delivered

Treasurer Josh Frydenberg insists the government is on track to deliver a surplus after meeting with the Reserve Bank Governor.

In a meeting with the Treasurer today, Reserve Bank Governor Philip Lowe endorsed the government’s economic plan, agreeing the economy is growing and the fundamentals “are strong’’.

Some economists are concerned the government tax cuts will not be enough to stimulate the economy but Mr Frydenberg is urging Australians to spend the money how they wish.

He tells Ross Greenwood the government remains confident in delivering a budget surplus.

“We’re very confident of the economic settings that we have established.

“We have budgeted for a 55 dollar a tonne iron ore price, whereas the current price has been hovering around 100.

“Now, that is a boost to the government’s coffers but we have not relied upon that in relation to predicting a surplus.”

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Image: Getty/Bloomberg