Australia Eyes Tax Reforms Amid Global Economic Volatility

Australia's Labor government, which recently secured a second term, is considering implementing tax reforms aimed at boosting productivity and building economic resilience in the face of increasing global volatility, Treasurer Jim Chalmers announced at the National Press Club on Wednesday.

Chalmers highlighted the government's readiness to explore fresh ideas at a forthcoming economic roundtable in August, underscoring the importance of budget neutrality as policymakers contend with growing spending pressures. 'Our economy is growing, but it is not yet as productive or resilient as it needs to be amidst such global economic turmoil,' Chalmers stated.

Despite Australia's economy experiencing sluggish growth in the first quarter, foreign investors are turning their attention towards domestically focused stocks. Meanwhile, discussions on defence spending continue, with Australia committed to increasing its defence budget as part of its broader economic strategy.

(With inputs from agencies.)