Australia Senate Votes Against Govt Stimulus PlanCANBERRA (Dow...

Australia Senate Votes Against Govt Stimulus Plan

CANBERRA (Dow Jones)--Australia's upper house, the Senate, on Thursday voted down a A$41.5 billion fiscal stimulus package proposed by the center-left federal Labor government.

The package was defeated in a 35-all tied vote, with the main opposition Liberal-National coalition and independent Senator Nick Xenophon voting against the package, while the government, five Greens Senators and Family First's Steve Fielding voting in its favor.

A spokesman for the government confirmed the package of stimulus measures will now be reintroduced in the House of Representatives, where Labor has a majority. He indicated that the government will look to apply further pressure on the coalition to back the plan.

If defeated twice in the Senate, the package will be abandoned.

Senators voted to sit on Friday to reconsider the package a second time.

-By Rachel Pannett, Dow Jones Newswires; 61-2-6208-0901; [email protected]

Click here to go to Dow Jones NewsPlus, a web front page of today's most important business and market news, analysis and commentary: http://www.djnewsplus.com/access/al?rnd=TpXDT9wMtdRbvWxp6upb%2FA%3D%3D. You can use this link on the day this article is published and the following day.

(END) Dow Jones Newswires

February 12, 2009 00:31 ET (05:31 GMT)