Treasury forecasts inflation to peak at 7.75 per cent as real wages stall

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Treasury forecasts inflation to peak at 7.75 per cent as real wages stall
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Federal Treasurer Jim Chalmers has warned Australians to brace for continuing tough cost-of living conditions over the next two years ahead of his July economic update. 9News

is expected to peak at an eye-watering 7.75 per cent by year's end, Treasurer Jim Chalmers has forecast.Chalmers said Treasury expects inflation to track towards 5.5 per cent by the middle of 2023, falling to 3.5 per cent by the end of 2023 and staying there until the end of 2024.Treasurer Dr Jim Chalmers during a statement on the economy, in the House of Representatives at Parliament House in Canberra on Thursday 28 July 2022.

"More Australians are in jobs than ever before and that is a very welcome outcome but fewer Australians are feeling confident about the choppy waters our economy is in. "The economic picture I have set up today represents a convergence of challenges, the kind of which comes around once in a generation," he said.

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