Parliament underway, climate bill to be introduced

Treasurer Jim Chalmers says the IMF’s downgrade of global growth shows the world economy “is treading a precarious and perilous path”.

He says inflation is being driven mainly, but not entirely, by global pressures. Supply chain issues and labour shortages in Australia aren’t helping, the treasurer says, adding that the government is working to alleviate pressure in these areas.

Chalmers tells reporters his ministerial statement to be delivered to parliament on Thursday will show the combined impacts of rising interest rates and slowing global growth on Australia’s economy.

Treasurer Jim Chalmers in parliament this morning. James Brickwood

“It will be primarily focused on the economic forecasts rather than the budget forecasts. It will focus on the implications of this high inflation which brings rising interest rates and the implications of the global situation that the IMF has described, and what all that means for Australians and for their economy as well,” he said.

After some doom and gloom, Chalmers stressed Australia still had “a lot going for us”. This includes good prices for commodities on global markets and unemployment at a historical low.

“But one of the things, or one set of things, that I think we really have going for us as well, I detect it around Australia in the broader economy, is there as an appetite for real talk about our economic position. There is a hunger after a decade of your vision for Australians to come together around our economic challenges.”

The treasurer didn’t miss an opportunity to say, again, that it wasn’t possible for Labor to clean up “nine years of mess in nine weeks”.