Short-term gain, long-term pain in budget update
For the first time in eight years, the net impact of the government's decisions improved the federal bottom line - but medium-term forecasts are less rosy.
The economy
The mid-year budget update will project deficit of nearly $37 billion for current financial year.
More than $12 billion in program cost blowouts demand tighter spending in other parts of the federal budget, the treasurer is warning Australians.
The return of inflation has forced the Reserve Bank to keep interest rates on hold at its last meeting of the year and raised the spectre of rate hikes in 2026.
The economy
Christmas rate relief off the table at last RBA meeting
The official cash rate is expected to remain on hold when the Reserve Bank decides on interest rates for the last time in 2025.
Update
‘Very positive news’: ray of light post inflation shock
Equipment investment in Australia's IT sector almost doubled in three months amid a surge in data centre projects, which could help revive productivity growth.
Update
Inflation surges as energy rebates run out of gas
Lower energy rebates and higher housing costs than a year ago have propelled the headline inflation rate up to its highest level in 16 months.
Companies employ 52,000 dedicated workers, more than Australia's entire coal mining sector, just to comply with regulation strangling business investment.
Pay packets are still growing in real terms according to fresh wages data, but economists say rising inflation could soon bring that to an end.
Australian consumers are the most optimistic they've been since early 2022 despite fading prospects of more interest rate cuts.
Two states heading to the polls next year have been named the best and worst places to do business in Australia based on factors such as taxes and red tape.
The Reserve Bank of Australia has held mortgage rates steady after a surprise jump in inflation wiped out hopes of more rate cuts.
More rate cuts are looking increasingly unlikely as the Reserve Bank concedes it underestimated inflationary pressures that persist in the economy.
Treasurer Jim Chalmers has unveiled more changes to the nation's foreign investment review scheme in a bid to boost capital inflows to Australia.
Mortgage-holders will likely need to hold out a little longer for interest rate relief after a strong inflation reading from the Bureau of Statistics.
An interest rate cut is back in the running on Melbourne Cup day as surprising unemployment figures offer borrowers hope of a home-loan victory.
Australia's budget deficit will narrow in fresh figures the government says will fund crucial services but the opposition claims taxpayers are footing the bill.
Australia's headline inflation rate jumped to three per cent in August, but the less volatile trimmed mean eased, in a reassuring sign for the Reserve Bank.
Markets could be underpricing geopolitical risks, potentially threatening Australia's financial stability, the Reserve Bank of Australia fears.
