Political attacks expected before mid-year economic forecast

A STACK of figures from the Coalition Government on the state of Australia's budget is likely to mark the latest round of attacks on Labor's handling of the economy ahead of the mid-year economic forecast next week.

In the financial statements, Finance Minister Mathias Cormann compares current figures to those of the 2007-08 financial year, a budget compiled in the final term of the Howard government.

The figures show Australia has a $29.9 billion fiscal deficit following "the fifth successive deficit recorded by Labor".

Senator Cormann said a Coalition surplus of $24.6 billion in 2007-08 has evolved into a $19.5 billion debt by the 2012-13 financial year.

In the release, Senator Cormann makes no mention of the changing international conditions - including the entire span of the Global Financial Crisis - nor how Australia's financial situation compares internationally.

Australia's level of public debt as a percentage of Australia's market value or gross domestic product sits at 27.1%.

This is roughly half the level of Germany, an economic powerhouse and the country considered the bedrock of the economically troubled European Union.

The mid-year forecast will be published on Tuesday.