Disruptions in the Strait of Hormuz and escalating Iran tensions are driving inflation and downside growth risks in Australia.
Region: Australia
The report highlights the significant economic and strategic importance of Australia’s cement, concrete and aggregates industry in supporting construction, infrastructure delivery, and national supply chains.
Australia is at the peak of a boom in tunnel work, supported by a record level of transportation construction activity. The pipeline of tunnelling work is set to begin declining as government funding of infrastructure projects slows.
RESEARCH BRIEFING Trade balance continues to bounce lower in Australia Imports rise on data centre demand as Australia’s trade surplus narrows.
RESEARCH BRIEFING Wage growth should slow, but upside risks persist in Australia Labour shortages and strong demand continue to support wage growth.
RESEARCH BRIEFING Stage set for strong Q4 GDP print despite slowdown in trade in Australia Government spending drives Q4 growth as trade softens and the current account deficit widens.
RESEARCH BRIEFING Rates to move higher as inflation refuses to play ball in Australia Strong inflation and jobs data delay disinflation, keeping policy restrictive.
Blog Construction’s Next Big Shift Rising costs, fiscal pressures, and the changing economics of construction. Market capacity to deliver is only part of the story. An equally important question is how the next wave of construction and infrastructure investment will be paid for. – Thomas Westrup Australian infrastructure has ridden a public investment boom… Australian construction work done – … Read more
Australia’s trade surplus increased recently, but softer export demand and rising capital goods imports may put pressure on the outlook.
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Event Australian Economic Outlook Conference 2026 Navigating the crosscurrents of economic policy 24 February 2026 Sydney in this page: Momentum is building in Australia’s economy, but the path ahead is anything but smooth. Inflation is rearing its head again, leaving the RBA in a difficult predicament just as households and businesses are seeking clearer signals. … Read more
Event Australian Construction Outlook Conference 2026 Navigating the crosscurrents of economic policy 24 February 2026 Sydney in this page: The construction sector is entering a defining decade as growth in activity shifts towards non-traditional asset classes. Increasing construction costs, labour market capacity, and ongoing geopolitical uncertainty will all limit the extent to which construction activity … Read more
Australia faces a series of tussles for 2026 – inflation versus the RBA, public versus private demand and homeowners versus everyone else.
The construction sector is entering a defining decade as growth in activity shifts towards non-traditional asset classes. Increasing construction costs, labour market capacity, an ongoing geopolitical uncertainty will all limit the extent to which construction activity can meet demand. In this conference we will take stock of the construction market and discuss the broader issues facing the industry including sustainability, capacity and capability, AI, costs and funding.
Momentum in the economy is building as inflation rears its head again – leaving the RBA in a sticky predicament. Globally, growth is wedged between the forces of AI and tariffs. The tech boom is winning the tug-of-war for now – but protectionism remains a formidable drag on global trade.
Rising student demand and limited housing availability are pushing rents higher and reinforcing investor confidence in Australia’s student accommodation market.
Australia’s infrastructure landscape is shifting fast, driven by new investment trends, emerging asset classes and growing capacity constraints. This outlook explores the major changes ahead and what industry and government must do to navigate the decade effectively.
Oxford Economics partnered with a Major Australian Bank to develop Australia-specific climate stress-testing scenarios, linking data-driven modelling to strategic resilience.
Wage growth held steady in Q3, reinforcing a still-tight labour market. But with conditions set to soften, we expect unemployment to rise and wage pressures to ease through next year.
To support Australia’s planning for cloud and AI growth, Oxford Economics worked with the market operator to assess future electricity demand from data centres. By combining industry data with insights from network providers, the analysis shows that current connection enquiries significantly overstate the grid demand likely to materialise.
