Treasurer Jim Chalmers has warned inflation in Australia “will be worse before it gets better”.
Appearing on ABC’s Insiders on Sunday, Chalmers said it was likely that inflation would be significantly higher than the 5.1% figure in the March quarter.
Reserve Bank of Australia (RBA) governor, Philip Lowe, previously said last week that he expected inflation would peak at 7% before falling in 2023. In response, Chalmers said he felt this figure “doesn’t seem to be wildly off mark”.
“Inflation will be worse before it gets better,” he said. “That’s the expectation across the board and that’s a difficult situation that we need to deal with before inflation hopefully moderates through the course of next year.
“Inflation will be significantly higher than what was in the last Government’s most recent Budget, certainly higher than the 5.1% we saw in March."
Chalmers said he would be able to give a more accurate forecast at the end of July.
Comments
Of course it is going to get worse, the government put up minimum wage during an inflation period.
This should have been done a couple of years ago to ease the recession, what is wrong with these politicians make poor decisions at poor times!!! Oh the cost of living is going up, let's add fuel to this fire and put more pressure on the cost of living and see what happens.
Additionally, he made mention of putting one if his thoroughly unqualified union hack mates on the board of the RBA. What could possibly go wrong?
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