Australia expects unemployment rate to rise as global economy

Australian Treasurer Jim Chalmers said on Sunday that he expected the nation’s jobless rate to lift from near a 48-year low on the back of higher interest rates and slowing global growth.
Chalmers told the Australian Broadcasting Corp, “As the Reserve Bank forecasts and the Treasury forecasts have inflation moderating over the coming months, they do have a tick up in unemployment as well.”
Amid stubbornly high inflation, the unemployment rate in May edged lower to 3.6%, when analysts had expected a steady 3.7%.
The Reserve Bank of Australia (RBA) has said the jobless rate would need to rise to about 4.5% – still well below pre-pandemic levels – to bring the economy back into balance.
Chalmers said ahead of attending a meeting of Group of 20 (G20) finance ministers and central bankers in India with outgoing RBA Governor Philip Lowe, unemployment was expected to lift “a bit as the economy slows as a consequence of higher interest rates and global economic uncertainty.”