Donna Demaio: Australian Correspondent ahead of Australia's federal budget announcement

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19d ago 2:26

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Australia’s federal budget is due today.

With gross debt predicted to rise above $1 trillion by 2026, Treasurer Jim Chalmers is walking a tightrope between offering cost-of-living relief without fuelling inflation.

Repayments on Government debt have become the fastest growing expense in the budget, and Dr Chalmers is facing calls to continue cutting spending.

Australian Correspondent Donna Demaio told Mike Hosking that they’re hearing that inflation could be under control a year earlier than expected.

The early relief could result in interest rate cuts, and there has been talk of energy bill relief for students and welfare recipients, she said.

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