What is the IMF's inflation outlook for Australia?

The IMF projects that Australia will experience 'drawn-out persistence in above-target inflation'.

Will the Reserve Bank of Australia hike interest rates?

Upcoming unemployment and consumer price data will determine if the RBA decides to hike interest rates.

How is the global economy performing according to the IMF?

The IMF has upgraded global growth forecasts to 3.3% for the year, noting the economy has shaken off tariff impacts.

Home / Business and Economy / IMF Warns: Australia Faces Lingering High Inflation

IMF Warns: Australia Faces Lingering High Inflation

20 Jan

•

Summary

Australia is expected to experience prolonged inflation above the target rate.
Unemployment and consumer price data will influence RBA rate decisions.
Global economic growth has been revised upwards to 3.3% for the year.

IMF Warns: Australia Faces Lingering High Inflation

The International Monetary Fund (IMF) projects that Australia will experience drawn-out persistence of inflation above its target rate. This forecast comes as economists and investors anticipate a potential interest rate hike by the Reserve Bank of Australia (RBA) this year. Key economic indicators, including unemployment figures and consumer price data scheduled for release soon, will be vital in guiding the RBA's decision.

The IMF's latest world economic outlook indicates a global economy that has recovered from the impacts of trade tariffs. This resilience is attributed to a significant surge in technology-related investments in the United States and a strong performance from the Chinese economy. Consequently, global growth has been upgraded to an estimated 3.3% for the current year.