MELBOURNE (S&P Global Ratings) Dec. 19, 2016--S&P Global Ratings said today that the Australian government's mid-year budget update has no immediate effect on the credit rating or outlook on the Commonwealth of Australia (unsolicited ratings AAA/Negative/A-1+). The government's worsening forecast fiscal position, as outlined in its latest budget projections earlier today, further pressures the rating. We remain pessimistic about the government's ability to close existing budget deficits and return a balanced budget by the year ending June 30, 2021. Over the coming months, we will continue to monitor the government's willingness and ability to enact new budget savings or revenue measures to reduce fiscal deficits materially over the next few years. For further information, see our latest sovereign rating review
