Higher interest rates, falling home prices and real wages, but no recession: Economists' forecasts for 2023
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Loading... - Micheal Neil
- 06 Feb 2023
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Australia's Reserve Bank is set to push up rates once again at its first meeting for the year on Tuesday, according to all but two of the 29 leading economists surveyed by The Conversation at the start of 2023.
Those experts predict we will still be living with higher rates by the end of the year, although they should start to come down in 2024.
Their average forecast is an increase in the bank's cash rate target from 3.1 per cent to 3.6 per cent during 2023.
That's enough to add an extra $190 to the monthly cost of servicing a $600,000 variable mortgage, bringing the total increase in the cost of servicing such a mortgage since the bank began hiking rates in May 2022 to more than $1,000. Read More…
