COVID-19 has taken a toll on the Queensland government's finances, with net debt expected to reach almost $102 billion by June 2021.
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However, the government will run a slightly smaller deficit of $8.13 billion in 2020/21, down from $8.5 billion forecast in July.
Forecasts released on Monday outline the state's economic outlook for the next two years.
UNEMPLOYMENT
* Unemployment to edge down to 8.5 per cent by June 2021
* The state's unemployment rate was 8.8 per cent in July with about 234,800 Queenslanders out of work
* About 21,000 people lost work in the June quarter with another 34,000 losing their jobs in July.
* The unemployment rate is 7.5 per cent nationally
GROSS STATE PRODUCT (GSP)
* GSP expected to fall by 0.25 per cent in 2019/20
* Expected GSP growth of 0.25 per cent in calendar year 2021
REVENUE
* Taxation, royalties, land rents, GST and other revenue streams to be about $7.66 billion lower than previously expected over the next two years
* Around $2.19 billion lower in 2019/20, and around $5.47 billion lower in 2020/21
GOVERNMENT INVESTMENT
* The Queensland government will spend another $4 billion on the coronavirus recovery, on top of $7 billion already allocated
* $500 million for a new fund investing in the expansion of small and medium-sized businesses
* $500 million for a fund to boost public sector company investment in renewable energy
* $249 million on extending payroll and land tax holidays through July and August 2020
* $2.75 billion to be unveiled for other stimulus measures before the October 31 state election.
Australian Associated Press
