The 2024–25 Western Australian State Budget was handed down by the Hon. Rita Saffioti MLA, Treasurer of Western Australia, on 9 May 2024. Following the budget release, the Western Australian Treasury Corporation (WATC) announces its estimated term funding requirement for the 2024–25 financial year at $5.9 billion.
The WATC forecast borrowing program across the forward estimates period is detailed in the following table:
| Term Funding Requirement | 2024–25 $B | 2025–26 $B | 2026–27 $B | 2027–28 $B |
| New Money Program (Estimated) | 0.6 | 1.6 | 2.8 | 1.3 |
| Projected Maturities | 5.3 | 7.1 | 6.2 | 5.2 |
| Total Term Funding (Est.) | 5.9 | 8.7 | 9.0 | 6.5 |
WATC 2024–25 Funding Strategy
It is expected that WATC's Benchmark Bond program (including labelled and non-labelled) will be the primary source of term funding, supplemented by Floating Rate Notes. Issuance into nonbenchmark bonds may be considered subject to client and investor demand. However, actual volumes and the composition of term funding is subject to the borrowing requirements of WATC's clients and market conditions.
WATC’s funding strategy will focus on:
- a minimum of one new Floating Rate Note,
- the establishment of a new benchmark bond,
- where possible building outstandings in existing bond and FRN lines,
- accessing markets through reverse enquiry, taps, tenders and syndications.
In addition to the term funding requirement, WATC expects to maintain approximately $2.5 billion – $4.5 billion of commercial paper outstanding through its domestic Short Term Inscribed Stock (STIS) and offshore ECP programs over the 2024–25 financial year.
Banner image below - The Bell Tower, Perth. Image courtesy of Tourism Western Australia.