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Economic forecasts at a glance
INFLATION
The consumer price index was tipped to hit 4.25 per cent by June 2022 – the highest since 2008 with average petrol prices well above $2 a litre
Headline inflation forecast to drop to 3 per cent by mid-2023 – which would still be on the high side of the Reserve Bank of Australia's 2 to 3 per cent target
Home borrowers are being warned to brace for two years of mortgage rate rises as inflation soars to the highest level since 2008 – potentially pushing up typical repayments by $700 a month.
Should the price pressures stay elevated, a borrower paying off a typical Australian home worth $700,000 could see their monthly repayments surge by $700 a month or $8,400 a year come 2024.
By June, Australia's headline inflation rate is tipped to surge to 4.25 per cent, the highest level since September 2008 as the Global Financial Crisis worsened.
This is well above last year's consumer price index of 3.5 per cent, which in itself is well above the Reserve Bank of Australia's 2 to 3 per cent target.
It is also a far cry from the 1.75 per cent forecast made a year ago for the 2021-22 financial year.
https://www.dailymail.co.uk/ne....ws/article-10663011/
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