AustraliaEconomy

Annual CPI inflation in Australia slowed to 3.8% in the 12 months to June 2026, down from 4.0% in the year to May, according to the Australian Bureau of Statistics (ABS).

Australia and Singapore have signed an economic resilience protocol under their free trade agreement to protect essential supply chains.

The US administration has imposed a 12.5% import tariff on Australian products following a Section 301 trade investigation.

The Australian unemployment rate remained steady at 4.4% in June following a 76,000 person surge in total employment.

New Zealand’s annual consumers' price index increased 4.1% in the 12 months to June, breaking past the central bank target.

• The International Monetary Fund downgraded Australia's 2026 economic growth forecast from 2% to 1.9% as persistent inflation continues to cool consumer demand.
• Major Australian entities face compressing profit margins and heightened loan provisions, exemplified by recent banking updates showing quarterly profit contractions.
• Analysts project the longest stretch of sub-2% economic growth in three decades, forcing corporations to heavily manage costs amid stagnant real wages.

The IMF downgraded Australia's forecast economic growth for 2026 to 1.9% amid persistent inflationary pressures.

Toyota led the Australian vehicle market to an all-time monthly record of 140,058 sales in June.

The total number of Australian building approvals fell 1.1% in May to 17,019 dwellings, driven by a decline in apartment approvals.

ABS data shows 46% of Australian businesses faced rising operating expenses into June 2026, driven by surging overheads and staffing costs.

Australian household spending rose by 1.3% in May, according to the Australian Bureau of Statistics.

The Australian Bureau of Statistics reported that national job vacancies fell by 2.1% to 329,500 positions in the three months to May.