Australia forecasts high inflation for another 2 years

By ROD McGUIRK
Associated Press

CANBERRA, Australia (AP) — New forecasts by Australia’s government say runaway inflation will remain unacceptably high for the next two years and economic growth will slow without falling into recession. Treasurer Jim Chalmers outlined to Parliament on Thursday a deterioration in the country’s economic outlook since a new government was elected in May. Rising inflation and a global slowdown are key economic challenges. Inflation rose by 3.5% last year, 5.1% in the year through March and 6.1% in the year through June. Chalmers said inflation was now expected to peak at 7.75% in the December quarter. Inflation is forecast to fall to an acceptable level of 2.75% in late 2024.