Australia news live: OECD economists slash growth estimates for Australian economy and warn trade wars may push prices up | Australia news

Key events

Patrick Commins

The Paris-based OECD – a 38-member grouping of rich countries, including Australia – on Monday evening issued a more downbeat assessment of the global economy, laying the blame on Trump’s tariffs.

The OECD’s economists slashed their estimates for Australian real GDP growth from 2.5% in 2026 to 1.8% and well below the Reserve Bank’s forecast of 2.3%.

The same report warned the rise in protectionism would push consumer prices higher and could force central banks to start lifting interest rates to contain any inflationary resurgence – although the inflation outlook for Australia remained largely unchanged and even lower in 2026 as slower growth bites.

Jim Chalmers will warn Australia must focus on resilience over retaliation as the Trump administration overturns the rules that have governed the global economic order for the past four decades.

The treasurer will deliver a major economic address in Brisbane at lunchtime today, and we’ll bring that to you live.

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