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(generated from captions) absolutely necessary. But make... We're shortly expected absolutely necessary. But to

to take you to Canberra where

the Treasurer Wayne Swan, he's

just stepped up and he's

speaking to the media speaking to the media now. OK. Well today's decision to cut interest rates again interest

interest rates again will

provide welcome Christmas cheer

to families and small

businesses, that's particularly

welcome around Christmas. It will mean or should mean

savings of an extra $50 a month

on a on a $300,000 mortgage, that's

about $100 a month when you add in

in last month's rate cut. As I said before, Christmas is time when family budgets are said before, Christmas is a

stretched, so it certainly will

be welcomed, will be a welcome

boost for families and boost for families

businesses both large and businesses both large and small

right around the country. We

should also bear in mind that

our economic fundamentals are strong, something like 750,000

jobs created over the last four

years. We've got growth

forecast at trend, our debt is

low, we have a huge pipeline of

investment and inflation is

contained. But as this decision shows, we are facing shows, we are facing turbulent times in the with serious risks arising from times in the global economy

times in the global economy, Europe. Given these turbulent

the Government through its mid

year update just last week has

put in place a disciplined

fiscal policy and that's why fiscal policy and that's why we

are returning to surplus as

planned. Once again, a welcome decision for families, for

small businesses both large and

small. For the Government's

part we'll keep getting the big economic decisions right at a

time when there is such risk in time when there is such

the international economy, I

have to be pretty brief today

because I've just ducked out of

a meeting but I will endeavour

to answer as many questions as

possible You said it should

mean a cut of 50 dollars mean a cut of 50 dollars in

repayments on an average loan.

Are you concerned that some of the rate cut on in full? Has any bank indicated to you that

they're not going to pass it on

in full and what would you say

to the banks about that? Well

the bank of Queensland

announced a full pass through,

understand that many families one I would say is that I

and small businesses will be

very angry if there is not a

full pass-through of this rate cut by the banks in the system. So I've spent a lot of

competition into our banking

system over the past 12 months

than we've seen in years a if

people are unhappy with their financial institution they do

have the capacity to walk have the capacity to walk down

the road. Because last time the

NAB didn't pass it on in full.

Is there any justification for

any bank not to do it this

time? I was very critical of

the NAB last time. I certainly

believed then and now there was no justification. I believed then and now that

believe that banks should pass

this rate cut through in

full. Do you think this rate

do enough to arrest the slide

in immediate median house

prices that we've seen all through every capital city? I

think this is certainly a think this is

welcome cut. It's the second of

two cuts. The fact is that the

Reserve Bank takes these

decisions on a monthly basis. They've made it really clear in

their statement today that they

are driven in particular by the

global outlook. In in terms of the setting of fiscal policy, we believe we middle courtor course between budget discipline which is so important in this environment given events in Europe to

confidence in both our own economy and our future prospects hand, prospects and on the other

believe we've got the right mix

here of fiscal policy and it's

entirely appropriate given the global conditions for the

decisions Reserve Bank to be taking these

decisions today. I believe those approaches provide the decisions today. I believe both

maximum support and confidence to our economy. But when it

comes more broadly, to the housing market, there are other factors in play here

just fiscal and monetary housing market over and above

policy. Like the level of population example. Yesterday the population growth for

fucker example. Yesterday the Senator fucker in, Steve Bracks and Bob Carr asked for the Carr asked for the Government

to release the secret report of

the so-called seal section of

their report into the election of the Ruth Government. They

said that they believed it was

up fair to people who up fair to people who were

mentioned in the report mentioned in the report and

more importantly to them to have things dribbled out through selective leaking. Do

you agree with the PM who says

that she's not going to release

that report? I gee with everything the PM said this

morning, but I just make this point. In the past

week I've brought down a mid

year Budget update. I've been involved in a significant economic discussion and debate at our national conference,

we've passed the mining tax

through the parliament today

we've got a rate cut and

tomorrow we've got the national

accounts, that's what accounts, that's what I'm

spending my time concentrating

unfair to them? Go and ask unfair on. The Labor party is being

those question os the Labor

Party. I'm the Deputy PM and

Treasurer of Australia charged

with with looking after our

doing here today. Treasurer, if economy and the that's what I'm

conditions continue to deteriorate do you think that

meeting in January? I'm the Reserve Bank should hold a

meeting in January? I'm not

the Reserve Bank should have going to speculate about when

their meetings. their meetings. The Reserve Bank is an organisation which

is highly respected both at

home and abroad, it takes its

decisions independently from the Government. the Government. The Government has worked closer in terms policy with the Reserve Bank

which is responsible for

moneyar policy. Both of us

working together have shown

that we have a very good and proven track record of

global sol volatility. We can

demonstrate that gone if that

is required. I make the point

about what is happening in

Europe. There is a lot riding

on what is happening in Europe as we go through as this week. All of us hope and

pray that the Europeans get their act together, that they put down clearly and outline a clear

plan for implementation of those decisions. That's what

we're all hoping for and praying for as we this week. Do you see this as a vote of confidence vote of confidence in your

fiscal policy as set out in the

mid year statement? There's no

doubt that our very strict

fiscal policy and our plan to

return to surplus does provide

flexibility for the Reserve Bank if global conditions change dramatically. Do you

think they would have done the

same today if you same today if you hadn't actually cut last week... I

honestly don't speculate about

the how and the why of what the

Reserve Bank does, for very good reasons. It's good reasons. It's independent

from the Government. But what

they do do is outline very

clearly now in their statement

how and why they have acted. I

think you can see a very clear

explanation of that. I explanation of that. I believe that the Government that the Government through

fiscal policy has worked well

with the Reserve Bank through

monetary policy in the past