Jim Chalmers warns of ‘confronting’ inflation and wages forecast in July economic update

The Albanese government has inherited ‘the trickiest set of economic conditions’ due to $1tn of public debt and inflation, Jim Chalmers says. Photograph: Mick Tsikas/AAP

Australia’s July economic update will contain “confronting” news about lower growth projections and higher inflation cutting real wages, Jim Chalmers has said.

The treasurer said the update to be delivered on Thursday 28 July comes as the global economy is in a “difficult if not dangerous place” due to high debt and rising interest rises to combat inflation.