Key facts
- Treasurer Jim Chalmers said Australia cannot afford short-term thinking on migration.
- Chalmers indicated a broad appetite for raising permanent migration from the current cap of 160,000.
- He acknowledged that boosting immigration will create pressures, particularly on housing.
- The upcoming October budget will focus on resilience at personal, community, and national levels.
- Chalmers noted that the government has faced fewer demands for expensive policy ideas than anticipated due to debt constraints.
Australian Treasurer Jim Chalmers has emphasized the need for long-term thinking on migration, stating that the country cannot afford to be short-sighted on the issue. He highlighted the widespread skills and labor shortages impacting the economy and indicated a general willingness to increase the permanent migration cap, currently set at 160,000.
Chalmers acknowledged that an increase in immigration would likely lead to pressures, particularly in the housing sector. He mentioned ongoing discussions with super funds and other large investors to incentivize more housing investment. The Treasurer also noted that Prime Minister Anthony Albanese would discuss potential advancements in skills and training with state premiers.
Looking ahead to the October budget, Chalmers described it as "very workmanlike" and not expected to contain major surprises. He stated that a key theme will be resilience, aiming to make the Australian economy and its people less vulnerable to international and health shocks. Chalmers also commented on the government's experience with budget demands, noting fewer requests for expensive policy ideas than anticipated, which he attributed to an awareness of the nation's debt situation.