BENSON: Senator Wong, good morning.
WONG: Good morning, good to be with you.
BENSON: The statements from the Prime Minister, shes in favour of free trade. Everyone says at all times theyre in favour of free trade, and Australia says we actually do something about it. But on the second aspect that shes talking about there, on European debt, is it useful to be criticising European debt, and advising them on action given the tensions within Europe at the moment, before the heads of government meeting which gets underway tonight? The French have said directly, the French President Sarkozy has said to the British Prime Minister David Cameron, dont you be lecturing us. They dont really want this sort of advice.
WONG: We live in a global economy. And the reality is all nations would be affected if Europe fails to properly deal with this sovereign debt crisis which has been ongoing for some time. The Prime Minister is doing exactly what she should be doing, which is in the national interest and the interests of this country, putting to the Europeans what we believe should occur. And that is that there is no longer time for mucking around. This is a time for decisive action, and action needs to be taken.
BENSON: But when 17 Eurozone heads of government get together are they going to be concerned about what Australia thinks?
WONG: I hope that the heads of government in Europe would be concerned about the global economy. And I hope, and am sure they understand, that they have a responsibility not just for Europe, but more broadly. Because in a global economy all of us are obviously connected, and all of us are affected.
BENSON: What do you make of this warning from BlackRock? A large investment house, the biggest holder in BHP Billiton for one thing. They say that Australia is becoming a less attractive place for investment because of uncertainty over tax, because of the carbon price, because of the mining tax.
WONG: What Id say is lets have a look at the investment figures over the last few years where we see a continued steep climb in the amount of investment in resources in this country over the last three years, precisely in the time frame where these policies have been on the table. And look at the $430 billion worth of investment in resources that is in the pipeline. The numbers tell the story. We have a very strong pipeline of investment into resources in this country.
BENSON: So BlackRocks got it wrong?
WONG: Im not going to they can engage in their own commentary. Im the Finance Minister and Im focused on the numbers that Im advised about. What we see is a continued increase in investment in resources in Australia, which simply doesnt stack up with that analysis.
BENSON: Can I take you away from directly financial issues, or largely financial issues. Tony Abbott was last night in Western Sydney at an RSL and he says the Opposition will now oppose the pre-commitment legislation on poker machines and if elected will rescind it. Does that make you reconsider your position?
WONG: Marius, you know what this confirms? This confirms that Tony Abbott is a man almost entirely defined by what he opposes. And what does he stand for? We are looking to act on this issue for a very simple reason. And that is there are extremely vulnerable Australians, people who are addicted to pokies, who spend money on pokies not on their families. Does Mr Abbott have an answer in relation to those people?
BENSON: The point that Tony Abbott makes is that you wouldnt be acting this way if Andrew Wilkie wasnt insisting on it and you depend on his vote to be the Government?
WONG: And no matter what we put forward, Mr Abbott would oppose it. The reality is a problem that has been around for some time. The propositions that the Government is working on are as a result of the Productivity Commission inquiry which the Government had initiated in the last Parliament, so that argument doesnt stack up. But the reality is, we see here again Tony Abbott simply opposing, wanting to wreck. What does he actually stand for? We only know what he stands against.
BENSON: Will the pokies issue hurt you in areas like Western Sydney?
WONG: This is a difficult reform, and Ive often said, whether its on climate change or other matters, reform is difficult, reform is tough. But theres a fundamental problem which wont go away. And that is too many Australian families who are afflicted by the scourge of pokie addiction. And governments and leaders have to do something about this.
BENSON: Minister, inflation figures are out today, just going back to the wider economic picture. Inflation figures out today. If those figures arent out of control, theres a general expectation of a rate cut from the Reserve Bank on Melbourne Cup Tuesday next week. Finance Ministers dont tend to second guess the Reserve Bank on rate cuts. But a cut obviously would be welcomed?
WONG: (laughs) Well Marius, I think in your question, you picked my answer, which is its not for me to comment on the interest rates that are set by the independent Reserve Bank. One of the strengths of our system, as you know, is their independence.
BENSON: But a cut is better than any other result for the general public obviously?
WONG: Im sure people have very strong views about interest rates, they always do. What weve got to do as a Government is continue to manage the economy in the best interests of working Australians. And that includes making sure we continue to work to get back to surplus, and also continue to support jobs. And its also pleasing to see that the unemployment rate is so much lower than in comparable economies.
BENSON: Penny Wong, thanks again.
WONG: Good to speak with you Marius.
ENDS