Better budget bottom line, higher inflation on the way
The Treasury updated its economic and financial forecasts for the next four years in its mid-year budget update.
BUDGET DEFICITS (IN PREVIOUS PARTS):
* 2025/26 – $36.8 billion ($42.2 billion)
* 2026/27 – US$34.3 billion (US$35.4 billion)
* 2027/28 – $36.2 billion ($27.1 billion)
* 2028/29 – $36 billion ($37 billion)
* Total – US$143.3 billion (US$151.7 billion)
GROSS DEBT:
* 2025/26 – $993 billion ($1022 billion)
* 2026/27 – $1069 billion ($1092 billion)
* 2027/28 – $1142 billion ($1161 billion)
* 2028/29 – $1213 billion ($1223 billion)
GDP GROWTH:
* 2025/26 – 2.25 percent (2.25 percent)
* 2026/27 – 2.25 percent (2.5 percent)
* 2027/28 – 2.5 percent (2.75 percent)
* 2028/29 – 2.75 percent (2.75 percent)
INFLATION:
* 2025/26 – 3.75 percent (3 percent)
* 2026/27 – 2.75 percent (2.5 percent)
* 2027/28 – 2.5 percent (2.5 percent)
* 2028/29 – 2.5 percent (2.5 percent)
FEE INCREASE:
* 2025/26 – 3.25 percent (3.25 percent)
* 2026/27 – 3.25 percent (3.25 percent)
* 2027/28 – 3.5 percent (3.5 percent)
* 2028/29 – 3.75 percent (3.75 percent)
UNEMPLOYMENT:
* 2025/26 – 4.5 percent (4.25 percent)
* 2026/27 – 4.5 percent (4.25 percent)
* 2027/28 – 4.25 percent (4.25 percent)
* 2028/29 – 4.25 percent (4.25 percent)
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