His comments came as the state government launched an advertising campaign telling Queenslanders there were three choices - significantly increase taxes, reduce services or sell or lease assets.

``Economically what we should be doing is looking for nation building projects to stimulate economic activity,'' Mr Katter said.

``Don't worry about a surplus, go into debt and build a transmission line or upgrade the rail line or roads out here so it stimulates everything in the short term and makes everything more viable.'' 

Mr Katter said the North West was perfectly placed to benefit from nation building projects.

``We've got untapped resources across a broad commodity base, not just coal, not just gas, we've got a broad commodity base out here, which is good risk averse development for the government,'' he said.

The government's Strong Choices campaign states the debt drains $4 billion in interest repayments every year.

The government has launched the People's Budget website to give Queenslanders a say in reducing the debt.

Treasurer Tim Nicholls said the government had big plans to build the social and economic infrastructure necessary for Queensland's growing population, including roads, hospitals, dams, schools and railway lines.

``But to turn these plans into reality, we first have to deal with a state debt,'' he said. 

Queenslanders can have their say at www.strongchoices.qld.gov.au