Summary
- Inflation is forecasted to drop to 2.75% by December and remain at that level by mid-2025.
- The budget predicts inflation to fall back within the Reserve Bank’s target range of 2-3% sooner than expected.
- Treasury expects inflation to return to below 3% by the end of the year, moderating faster than previously anticipated.
- The budget aims to address cost-of-living pressures while also tackling the challenge of inflation.
