IMF Tells Australian Government to Rebalance Budget

The International Monetary Fund (IMF) has urged the Australian government to rein in spending and reduce inflation by managing public debt. The call comes as global bond markets drive interest costs to multi-year highs, with Australia's $1.6 trillion of public debt affected.

In a statement, the IMF said that the Reserve Bank of Australia should be prepared to follow the Federal Reserve's lead in raising benchmark cash rates. This would help reduce inflation and ease the burden on borrowers.

The IMF also emphasized the need for careful management of changes to property taxes, which could have significant impacts on households and businesses.