Inflation reduction paves way for Election

A beaming Treasurer Jim Chalmers fronted a presser in Melbourne to talk up the economy after a good result on the rate of inflation.

The critical issue of mortgage stress dragging on the economy has been a sticking point for the Government, and the critical Inflation “Trimmed” figure of 3.2% gives the RBA the opportunity of reducing interest rates.

This is one of the best gifts that could be given to a rattled Prime Minister who has been looking for some good news on which to build a successful re-election campaign.

The Opposition meanwhile can still point to the cost of living as a criticism of the Government.

Image: Image: Courtesy A Copp

Produced By: Roderick Chambers

Featured In Story: Dr Dominic Meagher, Chief Economist John Curtin Research Centre

First aired on The Wire, Wednesday 29 January 2025