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Disasters to Weigh on Australia Economy After $3.5 Billion Hit

  • Natural disaster readiness a focus of May budget: Treasurer
  • Fresh food price rises expected to continue in coming months
People look out at floodwaters from a closed road in the suburb of Pitt Town Bottoms in Sydney in march 2021. 

People look out at floodwaters from a closed road in the suburb of Pitt Town Bottoms in Sydney in march 2021. 

Photographer: Brent Lewin/Bloomberg

Natural disasters are expected to be among the key factors weighing on the Australian economy in 2023, Treasurer Jim Chalmers said.

Flooding cost the Australian economy more than A$5 billion ($3.5 billion), the equivalent of a quarter of a point of GDP in the 2021-22 fiscal year, while also fueling inflation.