Chalmers Warns Australia Will Not Escape Unharmed From Global Downturn

Federal Treasurer Jim Chalmers has undeniably conceded “the world is bracing for another global downturn."

"That’s the truth of it,” he told reporters on Tuesday ahead of the upcoming Federal Budget, which will be handed down on October 25.

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Mr Chalmers said the nation was in a solid position to enter the downturn and avoid the global recession, however Australia would not escape unharmed.

“We are in much better nick than most of the countries with which we compare ourselves, but we won’t be immune from a global downturn,” he said.

“The concerning aspect of what we know about the global economy, what we have learned in the last couple of weeks is that it will have implications for us.

“It will have implications for our own growth forecasts," the Treasurer warned. "It will have implications for our unemployment forecasts. That much is obvious and that much is clear.”

Chalmers said the budget will "trim wasteful spending" and address the “blunt and brutal” economic landscape, focusing on inflation, the world economy and spending pressures.

“It won’t be fancy. It won’t be flashy. It will be responsible. It will be solid,” he said.

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