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Australia projects smaller deficits, rising debt, and stable growth in its mid-year budget update.
The Australian Treasury has released its mid-year budget update, projecting a slightly improved fiscal outlook with total deficits expected to reach $143.3 billion over the next four years, down from $151.7 billion previously.
Deficits are forecast between $34.3 billion and $36.8 billion annually, with government debt projected to rise to $1.213 trillion by 2028/29, slightly lower than earlier estimates.
Economic growth is expected to average 2.25% to 2.75% annually, inflation to ease from 3.75% in 2025/26 to 2.5% by 2027/28, wage growth to remain stable at 3.25% to 3.75%, and unemployment to hover near 4.25% to 4.5%.
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Australia proyecta déficits más pequeños, creciente deuda y crecimiento estable en su actualización presupuestaria de mediados de año.