South Australia Treasurer Kevin Foley said last Friday the state government has forecast net operating deficit of AUD$112 million for the fiscal year ending June 30, 2009 in its midyear budget review.

The forecast deficit compares with a forecast surplus of AUD$160 million handed down in the original state budget in June this year.

The government has forecast a defifit of AUD$81 million for 2009-10 and expects to move back into surplus thereafter with surpluses of AUD$107 million in 2010-11 and AUD$288 million in 2011-12.

No Capital program is canceled and no taxes have been raised nor new taxes introduced to pay for the shortfall in revenue.

The budget surplus for 2007-08 was revised to a record of AUD $464 million from a previous forecast of AUD$373 million.

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