The federal budget was 19 billion yuan better than expected, driven by economic growth and falling unemployment.
The final results of the 2017-18 budget showed a deficit of 10.1 billion yuan-19.3 billion yuan higher than the expected bottom line.
This is the smallest deficit in ten years.
(Josh FRydenberg), the new finance minister, said the results showed that the federal budget had returned to balance "as expected" between 2019 and 20.
"the economy is on track. It is growing strongly and has good momentum, "he said."
The 10 billion-yuan deficit represents 0.6 percent of GDP-the chancellor said there is clear evidence that the government`s economic plan is working.
Corporate profits and the growing labour market contributed to the result, with revenue 13.4 billion yuan higher than expected at the time of the budget.
Moreover, fiscal spending fell by 6.9 billion yuan due to a reduction in unemployment and benefits disbursements.
Government has saved 50 billion yuan in legislation since taking office in 2013, and real spending has fallen 1.9 percent-the lowest in 50 years, Mr. Flendenberg said.
Employment is also up 2.7% from the June quarter, almost double the budget forecast.
The federal government will update its budget in December`s mid-year economic and fiscal outlook.
