The Australian government has said it will earmark an additional $859 million in wage subsidies in the 2020/21 budget as COVID-19 continued to hit the economy.
The country is still hopeful of vaccine that could curtail the pandemic.
In the run up to the Oct. 6 budget, which is set to forecast a record deficit of about A$200 billion, Treasurer Josh Frydenberg said a vaccine was a factor in his fiscal considerations.
“The budget takes into account the possibility that is the case,” Frydenberg said when asked in a Sky News television interview whether the budget would be based on an assumption that a vaccine would be ready.
“We have worked hard with international counterparts to secure the vaccine for Australia.”
Australia’s A$2 trillion economy suffered its deepest slump on record in the June quarter as coronavirus curbs crippled business activity, and the government has sought to soften the blow this year with A$314 billion of fiscal stimulus.
The government plans to roll out a coronavirus vaccine cost-free to citizens, expecting its first batches possibly in January.
Earlier on Sunday, the government said the budget would include a wage subsidy aimed at creating up to 100,000 apprenticeships.
“We want to continue to recover what has been lost and get young people into work,” Prime Minister Scott Morrison was cited as saying in a press release announcing the A$1.2 billion scheme.
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