Welcome to our Weekly Digest – stay in the know with some recent news updates relevant to business and the economy.
What the RBA is really looking at when it sets interest rates
Despite economic challenges business investment remains strong
The Treasury’s analysis of Australia’s economic performance highlighted plenty of concerning trends. However, business investment remained strong, showing commercial and asset finance brokers still have an important presence.
Business Council calls on reform to turbocharge productivity growth to retain investment and living standards
Households will be poorer and living standards lower from a weakened economy unless urgent action is taken to address Australia’s lagging productivity and improve competitiveness, a major new report has found. The Business Council’s Australia’s flagging competitiveness and productivity report has found Australia is becoming a harder place to attract investment, which in turn is impacting the country’s ability to be more productive and grow the economy.
Some good news about super and retirement
This week, the superannuation industry gathered for its annual talkfest, and while these events can feel like an insider’s game, this year it was different – everyday people were the real winners. The Albanese government announced some long-overdue reforms to the retirement phase of super – and the industry rallied around retirement for once.
Australian forecasts –inflation slowing but not fast enough, govt spending props up economy
The RBA offers the most recent forecast for the Australian economy in its November Statement on Monetary Policy. Over the next two years here is what it expects.
Business failures at the highest rate since the pandemic
After witnessing some positive trends in the offset of COVID-19, business failures across the country have picked up again. As of October, the failure rate for Aussie businesses was 5.04 per cent. This is the highest it’s been since October 2020, amid the peak of the pandemic, where it sat at 5.08 per cent.
NAB research outlines biggest hurdles for Australia’s small businesses
Small businesses are a vital component of the Australian economy. According to a recent report from NAB, over 99 per cent of businesses across the country are SMEs. Furthermore, two-thirds of the labour force is employed by these organisations and 56 per cent of the nation’s gross value is attributed to SMEs. This places a lot of emphasis on the success of small businesses, yet persistent challenges are making this harder and harder.
Creditor forecasts highest level of business failures since Covid
Businesses are closing down at the fastest rate since the height of the covid pandemic as higher interest rates, cost of living pressures and Aussies pocketing stage three tax cuts add to mounting pressures on businesses, according to fresh figures released by CreditorWatch.
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