Australian Prime Minister Scott Morrison’s conservative government yesterday appeared poised to claim a come-from-behind victory in Australia’s election against the left-leaning Labor Party.
While opinion polls had pointed to a Labor win, the Australian Broadcasting Corp predicted that the Liberal-National coalition would form a government, but it remained unclear whether it would get the 76 seats needed for a majority.
Morrison, 51, narrowed Labor’s lead in a five-week campaign with a promise of sweeping tax cuts and record of sound economic management.
Photo: AFP
He relentlessly attacked Labor leader Bill Shorten’s detailed policy platform that included tougher action against climate change and a boost to the minimum wage, saying that Labor was a threat to growth just as the economy appears to be running out of steam.
“We outlined a comprehensive plan. The negative campaign against us has worked,” Labor lawmaker Brendan O’Connor said.
With 52 percent of the vote counted as of press time last night, the national broadcaster projected the coalition would win at least 73 seats and Labor 64, with eight seats still in doubt.
The vote count showed that Morrison’s conservatives avoided losing ground in the key state of Queensland.
Still, former Australian prime minister Tony Abbott was an early casualty, losing his formerly ultra-safe Sydney seat and ending his 25-year parliamentary career.
Whoever wins is to inherit an economy showing signs of strain amid record household debt, a falling property market and stagnant wages.
Independents are among the election’s 1,514 candidates. They could hold the balance of power in the Australian Senate, making the task of legislating policy difficult for either a Morrison or Shorten-led government.
The coalition has been in office since 2013 and boasts a solid economic record over its two terms.
The budget is on track to return to surplus next year after more than a decade of deficits. A hiring boom saw unemployment this year fall as low as 4.9 percent, compared with 5.7 percent when it took office.
However, a closer look reveals why many Australians simply feel they are not reaping the spoils of the nation’s boom years. While company profits have soared more than 40 percent since mid-2016, wages have grown at a snail’s pace — just 8 percent.
The Reserve Bank of Australia, which has kept the benchmark interest rate at a record-low 1.5 percent since August 2016, is under pressure to cut again.
On top of the economic challenges, the government must shore up ties with Beijing that have been strained since the coalition last year introduced laws aimed at ending Chinese interference in national affairs and barred telecommunications giant Huawei Technologies Co (華為) from participating in its 5G network on security grounds.
Labor’s campaign focused on creating a “fairer society” with tax cuts aimed at the lower paid and increased spending on hospitals, schools and childcare.
The party also campaigned heavily on taking stronger measures to combat climate change and encourage renewable energy.
“We are going to take real action on climate change. We’re going to tackle the problem of low wages growth. We’re going to tackle the issue of cost of living,” Shorten said in a nationally televised interview on Thursday.
Morrison built his campaign around the coalition’s traditional reputation for strong economic management and support for business.
His key pledge was a six-year plan to cut income taxes and streamline tax brackets.
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