Newly appointed Treasurer Jim Chalmers has said that Australia’s economic growth outlook will be affected by increasing interest rates.
The warning comes after the treasurer had discussions with Reserve Bank of Australia (RBA) governor Philip Lowe as the central bank is trying to curb the fast-growing inflation.
The RBA has explicitly displayed its intention to raise interest rates further in 2022, following the first cash rate rise since 2010.
“The Reserve Bank has appropriately been very upfront about the interest rate trajectory because we do have skyrocketing inflation, which is expected to get worse before it gets better,” Chalmers told reporters in Canberra….