The Queensland government will spend $360 million on programs it hopes will create jobs after increased coal royalties improved the budget bottom line forecast by more than $1 billion.

Treasurer Curtis Pitt on Tuesday delivered a mid-year budget review that predicted the 2016/17 financial year would see Queensland record its highest surplus in a decade – $2.02 billion. That figure was more than double the $867 million surplus predicted in the June budget. “The sound financial management we brought…