Australian Government Lifts its Debt Borrowing Limit

The Australian government has hiked its debt borrowing limit by two-thirds in a bid to alleviate concerns over a fiscal crisis.

The moves comes just after the U.S. Congress thrashed out a last-minute deal to raise its $17 trillion debt limit last week, following a 16-day partial government shutdown and fears that the world’s largest economy could default on its debt.

According to an official statement from Australian Treasurer Joe Hockey, the government was likely to meet its AUD $300 billion (US $292 billion) debt ceiling in December, with peak debt on track to exceed AUD $400 billion (US $389 billion).

CNBC

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.