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Budget: Government Claims Its Policies Will Reduce Inflation

AUSTRALIA

Treasurer Chalmers claimed on Budget night that the government's policies would reduce inflation by 0.75pp for 2023-24. This will all come from the energy side with household energy relief being paid directly to companies to reduce bills and the coal and gas price cap passed late last year. Economist Richardson estimates that each $6bn the government puts into the economy is another 25bp rate hike. The budget has a net $12bn over the next year. (The Australian)

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