Economic growth is set to more than halve in 2023/24 before picking up in the following three years, as Australia continues to feel the impact of weak conditions offshore.
But there is better news on inflation, which is expected to finally return to the Reserve Bank of Australia’s preferred two to three per cent target band in 2024/25.
The following forecasts are compared to Labor’s budget papers for the 2022/23 financial year released in October.
GDP (real)
* 2022/23 – 3.25pct (*3.25pct)
* 2023/24 – 1.50pct (*1.50pct)
* 2024/25 – 2.25 (*2.25pct)
* 2025/26 – 2.75 (*2.50pct)
* 2026/27 – 2.75 (n/a)
UNEMPLOYMENT RATE
* 2022/23 – 3.50pct (*3.75pct)
* 2023/24 – 4.25pct (*4.50pct)
* 2024/25 – 4.50pct (*4.50pct)
* 2025/26 – 4.50pct (*4.25pct)
* 2026/27 – 4.25pct (n/a)
EMPLOYMENT GROWTH
* 2022/23 – 2.50pct (*1.75pct)
* 2023/24 – 1.00pct (*0.75pct)
* 2024/25 – 1.00pct (*1.00pct)
* 2025/26 – 1.75pct (*1.25pct)
* 2026/27 – 1.75pct (n/a)
CONSUMER PRICE INDEX
* 2022/23 – 6.00pct (*5.75 pct)
* 2023/24 – 3.25pct (*3.50pct)
* 2024/25 – 2.75pct (*2.50pct)
* 2025/26 – 2.50pct (*2.50pct)
* 2026/27 – 2.50pct (n/a)
WAGE PRICE INDEX
* 2022/23 – 3.75pct (*3.75pct)
* 2023/24 – 4.00pct (*3.75pct)
* 2024/25 – 3.25pct (*3.25pct)
* 2025/26 – 3,25pct (*3.50pct)
* 2026/27 – 3.50pct (n/a)
Source: Treasury
(Australian Associated Press)
