Victorian Treasurer Tim Pallas has brushed off fears the states credit rating will be downgraded again after the state budget revealed ongoing record debt.

Debt is forecast to hit $189 billion in Victoria by 2027/28, the highest in Australia, and Tom Elliott asked the treasurer “have you forecast another cut in Victoria’s credit rating? Because I’m telling you it’s quite likely to happen”.

Press PLAY to hear the treasurer’s response on Victoria’s credit rating

It was a wide-ranging interview, with the 3AW Mornings host questioning the treasurer on the fallout from yesterday’s state budget, including whether the Airport Rail Link will eventually be built and his latest comments on the Suburban Rail Loop.

“The former Premier Daniel Andrews 10 years ago axed the East-West Link because he said the business case didn’t stack up. If you don’t even know how much the Suburban Rail Loop will cost, how can you possibly know that there’s a business case for it?” Elliott asked Pallas.

Press PLAY to hear the full interview